Alyeski Tours operates day tours of coastal glaciers in Alaska on its tour boat the Blue...
Fantastic news! We've Found the answer you've been seeking!
Question:
![image text in transcribed](https://s3.amazonaws.com/si.experts.images/answers/2024/05/66597901137ce_71266597900aa3bb.jpg)
![image text in transcribed](https://s3.amazonaws.com/si.experts.images/answers/2024/05/66597901b1c36_713665979014782b.jpg)
Transcribed Image Text:
Alyeski Tours operates day tours of coastal glaciers in Alaska on its tour boat the Blue Glacier. Management has identified two cost drivers-the number of cruises and the number of passengers-that it uses in its budgeting and performance reports. The company publishes a schedule of day cruises that it may supplement with special sailings if there is sufficient demand. Up to 81 passengers can be accommodated on the tour boat. Data concerning the company's cost formulas appear below: Fixed Cost per Cost per Cost per Month Cruise Passenger Vessel operating costs Advertising Administrative costs Insurance $ 6,300 $475.00 $ 2,700 $ 3.30 $ 5,100 $31.00 $ 3,900 $ 1.50 For example, vessel operating costs should be $6,300 per month plus $475.00 per cruise plus $3.30 per passenger. The company's sales should average $33.00 per passenger. In July, the company provided 59 cruises for a total of 3,000 passengers. Required: Prepare the company's flexible budget for July. Alyeski Tours operates day tours of coastal glaciers in Alaska on its tour boat the Blue Glacier. Management has identified two cost drivers-the number of cruises and the number of passengers-that it uses in its budgeting and performance reports. The company publishes a schedule of day cruises that it may supplement with special sailings if there is sufficient demand. Up to 81 passengers can be accommodated on the tour boat. Data concerning the company's cost formulas appear below: Fixed Cost per Cost per Cost per Month Cruise Passenger Vessel operating costs Advertising Administrative costs Insurance $ 6,300 $475.00 $ 2,700 $ 3.30 $ 5,100 $31.00 $ 3,900 $ 1.50 For example, vessel operating costs should be $6,300 per month plus $475.00 per cruise plus $3.30 per passenger. The company's sales should average $33.00 per passenger. In July, the company provided 59 cruises for a total of 3,000 passengers. Required: Prepare the company's flexible budget for July.
Expert Answer:
Posted Date:
Students also viewed these accounting questions
-
The directors of Mylo Ltd are considering two mutually exclusive investment projects. Both projects are concerned with the purchase of new plant. The following data are available for each project:...
-
Keller Company produces computers and computer components. The company is organized into several divisions that operate essentially as autonomous companies. The firm permits division managers to make...
-
12. Stock SLK has an expected growth rate of 0%. Each share of stock just received an annual $4.24 dividend per share. The appropriate discount rate is 15%. What is the value of the common stock?...
-
How do those three sectors (the provider sector, the insurance sector, and the ancillary sector) work together at timesand how are they independent at times.
-
Rubric: Are instructions carefully followed? Neat, professional? Is this the quality of work you would be willing to present in a business meeting? 10 questions that are unique, relevant to the...
-
Given the following data from a Comparative Competitive Efforts page in the CIR: Your Company $59.50 8.6 499 16,500 3.00 4 wks 4,500 2,272 140 87 3,129 +32 WHOLESALE SEGMENT Wholesale Price ($ per...
-
Why are peer reviewed journals considered more trustworthy than other publishing outlets?
-
Belkin Incorporated has 103,000 shares of $3 par value common stock outstanding. Belkin declares a 43% stock dividend on March 2 when the stock's market value is $75 per share. Prepare the journal...
-
In 2021, Sunland Company had a break-even point of $372,000 based on a unit selling price of $6.00 and fixed costs of $111,600. In 2022, the unit selling price and the unit variable costs did not...
-
prepare an implementation plan (learned from week 2 assignment) to take the current group stage to the next one (consider group development process) be creative anyway, even though this is simulation...
-
The most common choice for the appropriate estimation sampling period to use when estimating beta is to choose: a. 5 years of monthly data b. 5 years of yearly data c. 10 years of monthly data d. 10...
-
A calculated beta statistic of 0.80 would imply that: a. The stock tends to move with the market but to a lesser extent. b. The stock tends to move against the market but to a lesser extent. c. The...
-
The most common proxy for the hypothetical market portfolio in the calculation of beta is: a. The Dow Jones Industrial Average b. The Russell 1000 c. TheS&P500 d. The Wilshire 5000
![Mobile App Logo](https://dsd5zvtm8ll6.cloudfront.net/includes/images/mobile/finalLogo.png)
Study smarter with the SolutionInn App