Part One: Measuring Efficiency and Effectiveness of Discretionary Cost My Fitness Inc., an athletic club, hires athletic trainers at its facilities primarily to offer individualized training sessions for its club members. However, trainers are involved in other general activities including some administrative functions. The company believes it can treat the cost of the training as an engineered cost. The following data is summarized related to the training sessions.

a. Calculate the degree of effectiveness of the training program relative to the number of one-hour training sessions.

b. Calculate planned efficiency of the trainers.

c. Calculate the actual efficiency of the trainers.

d. Did the company exceed effectiveness and efficiency expectations?

Part Two: Variance Analysis of Discretionary Costs Management at Premiere Manufacturers Inc. has estimated that each quality control inspector should be able to make an average of 40 inspections per hour. The standard rate is \(\$ 30\) per hour. During the first month, 145,800 inspections were made, and the total pay to the inspectors was \(\$ 122,300\) for 4,200 hours of work.

Perform a variance analysis for management on the quality control labor cost.

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Planned number of one-hour training sessions Budgeted trainer hours.... Actual number of one-hour training sessions Actual trainer hours 385 480 340 455