Question 37 (2 points) Alpha Company applies overhead to jobs at a rate of 125% of direct labour cost. If Job 107 shows $10,000 of manufacturing overhead applied, how much was the direct labour cost on the job? $8,000. $11,250 O $12,500. None of the options provided are correct. $10,000 Question 38 (2 points) The Grommet Group is trying to determine if Product Group 19 should be eliminated. The total sales are $190,000 per year with total Variable Costs of $119,000. Total Fixed Costs charged to the product are $90,000 per year. $39,000 of the Fixed Costs will remain even if the product is eliminated. Given this information, what will be the change in the company's total Operating Income is Group 19 is dropped? None of the options provided are correct. Decrease of $20,000. Increase of $21,000. Increase of $32,000. Decrease of $19,000. Question 39 (2 points) Data for Division B of ABC Company is provided below. If the Division sells 16,000 units per year, what is the return on investment? Unit Selling Price Unit Variable Cost Total Fixed Cost Average Operating Assets $50 $30 $200,000 $750,000 O 16%. O O 15% O 12% None of the options provided are correct. 18%. Question 40 (2 points) Gerbil Company is planning to sell 200,000 units of pet food for $2.00 a unit and will just break even at this level of sales. The contribution margin ratio is 25%. What are the company's fixed expenses? None of the options provided a re CO $300,000. $200,000. $100,000 $160,000