Please answer all questions.

MULTIPLE CHOICE. 4 Points each. 1) If variable manufacturing overhead is applied on the basis of direct labor-hours and the variable overhead rate variance is favorable, then: A) the standard direct labor-hours allowed for the actual output exceeded the actual hours B) the actual direct labor-hours exceeded the standard direct labor-hours allowed for the actual output C) the actual variable overhead rate exceeded the standard rate. D) the standard variable overhead rate exceeded the actual rate. 2) Sharp Corporation produces 8,000 parts each year, which are used in the production of one of its pr unit product cost of a part is $36, computed as follows: Variable production cost Fixed production cost Unit product cost $ 16 20 36 The parts can be purchased from an outside supplier for only $28 each. The space in which the parts produced would be idle and fixed production costs would be reduced by one-fourth. Based on these financial advantage (disadvantage) of purchasing the parts from the outside supplier would be: A) $56,000 B) $24,000 C) ($24,000) D) ($56,000) 3) Largo Company recorded for the past year sales of $510,000 and average operating assets of $255,000. What is the margin that Largo Company needed to earn in order to achieve an ROI of 14.00%? A) 7.14% B) 14.00% C) 7.00% D) 2.00%