Problem 22-5A (Part Level Submission) Optimus Company manufactures a variety of tools and industrial equipment. The company operates through three divisions. Each division is an investment center. Operating data for the Home Division for the year ended December 31, 2017, and relevant budget data are as follows. Comparison with Budget Actual Sales Variable cost of goods sold Variable selling and administrative expenses Controllable fixed cost of goods sold Controllable fixed selling and administrative expenses $1,400,000 675,000 124,000 171,000 81,000 $101,000 favorable 56,000 unfavorable 24,000 unfavorable On target On target Average operating assets for the year for the Home Division were $1,999,000 which was also the budgeted amount. (a) Your answer is partially correct. Try again Prepare a responsibility report for the Home Division. (List variable costs before fixed costs. Round ROI to 1 decimal place, e.g. 1.5.) OPTIMUS COMPANY Home Division For the Year Ended December 31, 2017 Favorable Neither Favorable Rudnat 1,400,000 Sales Favorable Variable Costs Unfavorable Cost of Goods Sold Unfavorable Selling and Administrative Total Variable Costs Unfavorable Favorable Contribution Margin Controllable Direct Fixed Costs Cost of Goods Sold Neither Favorable nor Unfavorable Selling and Administrative Neither Favorable nor Unfavorable Total Controllable Direct Fixed Costs Neither Favorable nor Unfavorable Controllable Margin Favorable % Favorable ROI 16.51 %