Effectiveness/efficiency; ethics; writing Top management of Capital Services observed that the budget for the EDP department had been growing far beyond what was anticipated for the past several years. Each year, the EDP manager would demonstrate that increased usage by the company's non-EDP departments would justify a larger appropriation. The administrative vice president commented that she was not surprised because user departments were not charged for the EDP department services, and EDP department personnel were creative and eager to continue expanding services. A review of the current year's statistics of the EDP department revealed the following: Budgetary appropriation $2,000,000 based on 4,000 hours of run time. $1,600,000 of this appropriation is related to fixed costs. Actual department expenses Variable: $370,500 (incurred for 3,900 hours of run time). Fixed: $1,630,000. a. Did the EDP manager stay within his appropriation? D. What was the EDP department's degree of effectiveness? Note: Round your answer to two decimal places