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Required information Exercise 11-30 (Static) Relevant Cost Exercises [LO 11-1, 11-2, 11-3, 11-4, 11-7] [The following information applies to the questions displayed below.] Each of the following situations is independent: Part f (Static) Short-Term Product-Mix Decision DVD Production Company produces two basic types of video games, Flash and Clash. Pertinent data for DVD Production Company follow: Sales price Costs Direct materials Direct labor (@ $25/hour) Variable factory overhead* Fixed factory overhead* Marketing costs (all fixed) Total costs Flash $ 250 Clash $ 140 50 25 100 50 50 25 20 10 10 10 $ 230 $ 120 Operating profit $ 20 $ 20 *Based on direct labor hours: 4 direct labor hours (DLHs) per unit of Flash and 2 DLHS per unit of Clash. The DVD game craze is at its height so that either Flash or Clash alone can be sold to keep the plant operating at full capacity. However, labor capacity in the plant is insufficient to meet the combined demand for both games. Flash and Clash are processed through the same production departments. Required: 2a. Calculate the contribution margin per labor hour for both Flash and Clash. (Round your answers to 2 decimal places.)

Required information Exercise 11-30 (Static) Relevant Cost Exercises [LO 11-1, 11-2, 11-3, 11-4, 11-7] [The following information applies to the questions displayed below.] Each of the following situations is independent: Part f (Static) Short-Term Product-Mix Decision DVD Production Company produces two basic types of video games, Flash and Clash. Pertinent data for DVD Production Company follow: of Flash and 2 DLHs per unit of Clash. The DVD gome craze is at its height so that either Fyosh or Clash alone can be sold to keep the plant operating at full capocity. However, labor capacity in the plant is insufficient to meet the combined demand for both games. Flash and Clash are processed through the same production departments. Required: 20. Calculate the contribution margin per labor hour for both Flash and Clash. (Round your answers to 2 decimal places.) Short-Term Product-Mix Decision DVD Production Company produces two basic types of video games, Flash and Clash. Pertinent data for DVD Production Company follow: The DVD game craze is at its height so thot either Ffash or Clash alone can be sold to keep the plant operating at full capacity. However, labor capacity in the plant is insufficient to meet the combined demand for both games. Flash and Clash are processed through the same production departments. Required: 20. Caiculate the contribution margin per labor hour for both Flash and Clash. (Round your answers to 2 decimal places.)

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