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 $90$ passengers can be accommodated on the tour boat. Data concerning the company's cost formulas appear below:

Vessel operating costs

$ $6,500$

$ $478\mathrm{.}00$

Advertising

$ $2,900$

Administrative costs

$ $5,300$

$ $38\mathrm{.}00$

Insurance

$ $3,300$

Cost per

Passenger

$ $3\mathrm{.}50$

$ $1\mathrm{.}50$

For example, vessel operating costs should be $$6,500$ per month plus $$478\mathrm{.}00$ per cruise plus $$3\mathrm{.}50$ per passenger. The company's sales should average $$33\mathrm{.}00$ per passenger. In July, the company provided $57$ cruises for a total of $3,000$ passengers.

Required:

Prepare the company's flexible budget for July.

Alyeski Tours

Flexible Budget

For the Month Ended July $31$

Revenue

Expenses

Vessel operating costs

Advertising

Administrative costs