Adger Corporation is a service company that measures its output based on the number of customers served. The company provided the following fixed and variable cost estimates that it uses for budgeting purposes and the actual results for May as shown below:

	Fixed Element per Month		Variable Element per Customer Served		Actual Total for May
Revenue			$	6,000	$	195,500
Employee salaries and wages	$	56,000	$	1,700	$	114,700
Travel expenses			$	900	$	28,900
Other expenses	$	35,000			$	33,500

When preparing its planning budget the company estimated that it would serve 30 customers per month; however, during May the company actually served 35 customers.

7.	What is Adgers employee salaries and wages spending variance for May? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

Actual results_______ Spending Variance______________(F,U)______Flexible budget__________

8.	What is Adgers travel expenses spending variance for May? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

Actual results_______ Spending Variance______________(F,U)______Flexible budget__________

9.	What is Adgers other expenses spending variance for May? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

Actual results_______ Spending Variance______________(F,U)______Flexible budget__________

10. What amount of revenue would be included in Adgers planning budget for May?

Variable element per customer served________?

Actual Activity______?

Amount in planning budget_______?

11. What amount of employee salaries and wages would be included in Adgers planning budget for May?

Empoloyee salaries and wages:

Variable element per customer served____________?

Planned activity_________?

Variable portion of the amount________?

Fixed element per month____________?

Amount in planning budget________?

12.	What amount of travel expenses would be included in Adgers planning budget for May?

Travel expenses:

Variable element per customer served____________?

Planned activity_________?

Amount in planning budget________?

13.	What amount of other expenses would be included in Adgers planning budget for May?

Amount of ther expenses_______?

14.	What activity variance would Adger report in May with respect to its revenue? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

Flexible budget ________ Activity Variance______________(F,U) ______ Planning budget __________

15.	What activity variances would Adger report with respect to each of its expenses? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

	Flexible budget	Activity Variance	F or U	Planning budget
Employee Salaries and Wages
Travel Expenses
Other Expenses