Corp has prepared the following flexible budget for $.F=$ favorable variance, $U=$ unfavorable variance.

$\backslash$table$[[$Flexible$,$Variances,$],[$Budget$,$Price $,$ Efficiency.,,$],[$Material A$,$$$40,000$$$1,000F,$$$3,000U,],[$Material B$,60,000500U,1,500F,],[$Direct manufacturing labor,$80,000500U,2,500F,]]$

The most likely explanation of the above variances for Material $A$ is that

A$)$ a lower price than expected was paid for Material A

B$)$ higher$-$quality raw materials were used than were planned

C$)$ the company used a higher$-$priced supplier

D$)$ Material A used during September was $$2,000$ less than expected

The actual amount spent for Material B was

The actual amount spent for $DL$ was

Corp makes flashlights and is considering raising the price by $75$ cents a unit for the coming year. With a $75-$cent price increase, demand is expected to fall by $7,000$ units.

Current

Demand $75,000$ units

Selling price $$8\mathrm{.}50,$$$9\mathrm{.}25$

Variable cost per unit $$4\mathrm{.}80,$$$4\mathrm{.}80$

If the price increase is implemented, what will be the change $($direction and dollar value$)$ in operating income?