part a

part b

In Pargo Company's flexible budget graph, the fixed cost line and the total budgeted cost line intersect the vertical axis at $93,700. The total budgeted cost line is $281,860 at an activity level of 58,800 direct labor hours. Compute total budgeted costs at 65,100 direct labor hours. Total budgeted costs The service division of Raney Industries reported the following results for 2020 Management is considering the following independent courses of action in 2021 in order to maximize the return on investment for this division. 1. Reduce average operating assets by $135,120, with no change in controllable margin. 2. Increase sales $112,600, with no change in the contribution margin percentage. Compute the controllable margin and the return on investment for 2020. Controllable margin $ Return on investment for 2020 % Compute the controllable margin and the expected return on investment for 2021 for each proposed alternative. (Round ROl to 1 decimal place, e.g. 1.5\%.)