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Boyne University offers an extensive continuing education program in many cities throughout the state. For the convenience of its faculty and administrative staff and

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Boyne University offers an extensive continuing education program in many cities throughout the state. For the convenience of its faculty and administrative staff and to save costs, the university operates a motor pool. The motor pool's monthly planning budget is based on operating 19 vehicles; however, for the month of March the university purchased one additional vehicle. The motor pool furnishes gasoline, oil, and other supplies for its automobiles. A mechanic does routine maintenance and minor repairs. Major repairs are performed at a nearby commercial garage. The following cost control report shows actual operating costs for March of the current year compared to the planning budget for March. Boyne University Motor Pool Cost Control Report For the Month Ended March 31 March Actual 57,300 20 Planning Budget 49,300 (Over) Under Budget 19 $ 5,800 $ 5,423 $ (377) 5,275 4,930 (345) 820 646 (174) 1,450 1,330 (120) 8,610 8,610 3,900 3,705 (195) $ 25,855 $ 24,644 $ (1,211) Miles Autos Gasoline Oil, minor repairs, parts Outside repairs Insurance Salaries and benefits Vehicle depreciation Total The planning budget was based on the following assumptions:

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