I give likes Rour company uses two measures of activity,...
60.1K
Verified Solution
Link Copied!
Question
Accounting
I give likes
Rour company uses two measures of activity, routes and passengers in its cost formulas used for budgeting and performance evaluation. The cost formula for tour operating costs is $56,840 per month plus $2,886 per route plus $17 per passenger. The company expected in August to perform 87 routes and serve 260 passengers, but the actual activity was 92 routes and 262 passengers. The actual tour operating costs in August was $305,100. The spending variance for tour operating costs in August would be closest to Multiple Choice O $21706 Unfavorable $7.242 Unfavorable $14,464 Favorable $7,242 Favorable $21706 Favorable
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
