Arco has provided you with the following data concerning its operation: Budget: Unit Sales: 10,000 units Sales Price $15.00/unit sold Wages $5.00/unit sold Raw Materials $2.00/unit sold+$7,000 Rent $3,000 Actual revenues and expenses for the 9,500 units actually sold during the period are:Sales Revenues $145,000 Wages $45,000 Raw Materials $24,000 Rent $2,700 Provide Arcos RENT ACTIVITY AND SPENDING VARIANCES. Select one: a. Rent Activity Variance: $0 Rent Spending Variance: $300 Favorable b. Rent Activity Variance: $0 Rent Spending Variance: $0c. Rent Activity Variance: $300 Unfavorable Rent Spending Variance: $300 Unfavorable d. Rent Activity Variance: $300 Favorable Rent Spending Variance: $0 e. None of the other answers are correct

Anton Inc provides you with selected financial information for 2017 and 2018::

2018

Sales $14,000,000

Cost of Goods Sold (10,000,000)

Operating Expenses (2,000,000)

SG&A Expenses (1,000,000)

Net Operating Income $1,000,000

Year-end Balance Sheet info for Anton Inc is as follows:

12/31/2018 12/31/2017

Operating Assets $9,000,000 $5,000,000

Investment Assets $12,000,000 $6,000,000

Total Assets $21,000,000 $11,000,000 As part of the analysis of Return on Investment (ROI), provide the Anton's MARGIN Ratio Percentage (round to nearest hundredth). Select one: a. 20% b. 20% c. 7.14% d. 11.11% e. 2%

Hawkeye uses standards to control its costs. They use Direct labor hours to (DLHs) allocate Variable Overhead. The Variable Overhead standards that have been set to make one premium widget are as follows:Direct Labor Hours/unit: 0.30 DLH/unit Variable Overhead Std Cost: $4.00/DLH During 2018, 5,800 actual direct labor hours (DLHs) were needed to make 20,000 premium widgets at a total cost of $27,900. Provide Hawkeyes Variable Overhead Efficiency and Rate variances and state whether the variance is Favorable or Unfavorable. Select one: a. Variable Overhead Efficiency Variance: $800 Unfavorable; Variable Overhead Rate Variance: $4,700 Favorable b. None of the other answers are correct c. Variable Overhead Efficiency Variance: $1,000 Unfavorable; Variable Overhead Rate Variance: $3,900 Unfavorable d. Variable Overhead Efficiency Variance: $800 Favorable;Variable Overhead Rate Variance: $4,700 Unfavorable e. Variable Overhead Efficiency Variance: $4,700 Favorable;Variable Overhead Rate Variance: $800 Unfavorable

Ritter is considering the purchase of electric pinball machines to place in their amusement houses. The machines will cost a total of $300,000 today and have an eight-year useful life. At the end of the eight years the machines will have a salvage value of $75,000. Ritter estimates the following annual revenues and expenses from the machines over their eight-year life as follows: Cash Inflows: Sales Revenues $200,000 Cash Outflows: Commissions (100,000) Insurance ( 7,000) Maintenance ( 18,000) Net Cash Inflows $75,000 Depreciation Expense (35,000) Net Operating Income $40,000 Compute Ritter's PAYBACK PERIOD Select one: a. 3 years b.None of the other answers are correct c. 7.5 years d. 1.5 years e. 4 years

Hanratty Inc is currently is manufacturing 30,000 widgets to sell to their retail customers at an average selling price of $30 per widget. The widget cost per unit is broken down as follows:

Direct Materials $3.60 per unit

Direct Labor $10.00 per unit

Variable Manufacturing OH $2.40 per unit

Fixed Manufacturing OH $9.00 per unit

Total Cost Per Unit $25.00 per unitHanratty Inc is approached by Rocky JV to produce a special order of 10,000 additional widgets using their unused factory production space.

If Hanratty Inc agrees to the special order, they would use their unused factory production space and not incur any additional Fixed Manufacturing Overhead Costs.

Rocky JV offers to pay Hanratty Inc $20 per unit, or $200,000 for the widget Special Order. Assume Hanratty Inc accepts this Special Order of 10,000 units.What is the increase (or decrease) in Hanrattys Net Operating Income as a result of the Special Order?Select one: a. $200,000 increase in net operating income b. $50,000 decrease in net operating income c. $40,000 increase in net operating income d. $64,000 increase in net operating income e. None of the other answers are correct