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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

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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: Cost per Cruise $ 476.00 Cost per Passenger $ 3.40 Vessel operating costs Advertising Administrative costs Insurance Fixed cost per Month $ 6,400 $ 2,600 $ 5,500 $ 3,600 $ 38.00 $ 1.50 For example, vessel operating costs should be $6,400 per month plus $476.00 per cruise plus $3.40 per passenger. The company's sales should average $34.00 per passenger. In July, the company provided 59 cruises for a total of 3,050 passengers. Required: Prepare the company's flexible budget for July Alyenkl Tours Flexible Budget For the Month Ended July 31 Revenue Expenses Vessel operating costs Advertising Administrative costs Insurance Total expense Net operating income Lavage Rapide is a Canadian company that owns and operates a large automatic car wash facility near Montreal. The following table provides data concerning the company's costs: Fixed Cost per Month Cost per Car Washed $8.50 $0.99 $ 0.20 $0.30 Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses $1,200 $ 4,900 $8,300 $1,900 $1,800 $ 0.03 For example, electricity costs are $1,200 per month plus $0.09 per car washed. The company expects to wash 8,000 cars in August and to collect an average of $6.20 per car washed. Required: Prepare the company's planning budget for August 5 Lavage Rapide Planning Budget For the Month Ended August 31 Revenue Expenses Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Total expense Net operating income

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