Help Save 6 Problem 13-25 (Algo) Volume Trade-Off Decisions (L013-5, LO13-6) 10 point The Walton Toy Company manufactures a line of dolls and a sewing kit Demand for the company's products is increasing, and management requests assistance from you in determining an economical sales and production mix for the coming year The compa has provided the following data: cBook References Product Debbie Trish Sarah Mike Sewing kit Demand Selling Next year Price Direct (units) per unit Materials 65,000 $28.00 $4.20 57,000 56.00 51.10 50,000 $35.00 $3.69 40,000 $14.00 $3.50 340,000 $9.50 54.70 Direct Labor $ 4.05 $ 1.26 $6.75 $4.95 The following additional information is available a. The company's plant has a capacity of 116.330 direct labor hours per year on a sagle-shift basis. The company's present employees and equipment can produce all five products b. The direct labor rate of $9 per hour is expected to remain unchanged during the coming year. Fixed manufacturing costs total 5535.000 per year Variable overhead costs are $2 per direct labor hour d. All of the company's nonmanufacturing costs are fised e The company's finished goods inventory is negligible and can be ignored Required: WithAt mit hohem M equipment can produce all five products. b. The direct labor rate of $9 per hour is expected to remain unchanged during the coming year Fixed manufacturing costs total $535,000 per year. Variable overhead costs are $2 per direct labor hour d. All of the company's nonmanufacturing costs are fixed. e. The company's finished goods inventory is negligible and can be ignored Required: 1. How many direct labor hours are used to manufacture one unit of each of the company's five products? 2. How much variable overhead cost is incurred to manufacture one unit of each of the company's five products? 3. What is the contribution margin per direct labor-hour for each of the company's five products 4. Assuming that direct labor-hours is the company's constraining resource, what is the highest total contribution margin that he company can eam if it makes optimal use of its constrained resource? 5. Assuming that the company has made optimal use of its 116,330 direct labor-hours, what is the highest direct laborate per hour that Walton Toy Company would be willing to pay for additional capacity (that is for added direct labor time)? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 How many direct labor hours are used to manufacture one unit of each of the company five products ont round Intermediate calculations. Round your answers to 2 decimal places) Debbie Trish Sarab MIX Sewing Direct labor hours per unit Regel 23