The following information is available for Aggie Auto Sales:

Average operating assets	$750,000
Controllable margin	90,000
Contribution margin	175,000
Minimum rate of return	10%

How much is Aggie Autos residual income?

A) $125,000

B) $640,000

C) $15,000

D) $85,000

Haroot Companys master budget shows that the planned activity level for next year is expected to be 20,000 machine hours. At this level of activity, the following manufacturing overhead costs are expected:

Indirect labour	$45,000
Factory supplies	4,000
Indirect materials	21,000
Depreciation on factory building	15,000
Total manufacturing overhead	$85,000

Indirect labour, factory supplies and indirect materials are variable costs. If the company operates at 21,000 machine hours, how much is allowed on a flexible budget for manufacturing overhead costs?

A) $89,250

B) $73,500

C) $88,500

D) $85,000

Tidex Company is a manufacturer of cleaning detergent. Product Cleanx is manufactured on a weekly basis. The following standards have been established to produce 10,000 litres of Cleanx:

Standard direct materials used: 10,000 litres of detergent Standard direct material price per litre $4 Actual direct materials used: 12,000 litres Actual direct material price per litre: $4.35 Calculate the Total Direct Materials Budget Variance (TDMBV).

A) $12,200 Unfavourable.

B) $40,000 Favourable.

C) $12,200 Favourable.

D) $8,700 Unfavourable.

EKPN Company recorded the following operating data:

Sales	$1,250,000
Contribution margin	485,000
Total direct fixed costs	400,300
Total operating assets Jan. 1, 2016	750,000
Total operating assets Dec. 31, 2016	790,000
EKPN Companys desired return	12%

What is EKPN Companys ROI, rounded to the nearest whole number?

A) 11%

B) 12%

C) 53%

D) 55%

Tidex Company is a manufacturer of cleaning detergent. Product Cleanx is manufactured on a weekly basis. The following standards have been established to produce 10,000 litres of Cleanx:

Standard direct labour hours of 5,000 to mix 10,000 litres of detergent Standard direct labour rate per hour: $18 Actual direct labour hours consumed: 5,500 Actual direct labour rate: $18.45 Calculate the Labour Price Variance (LPV)

A) $11,475 Favourable

B) $9,000 Unfavourable

C) $2,475 Favourable

D) $2,475 Unfavourable