Chapter 09 Homework i Saved The Gourmand Cooking School runs short cooking courses at its small campus. Management has identified two cost drivers it uses in its budgeting and performance reports-the number of courses and the total number of students. For example, the school might run two courses in a month and have a total of 61 students enrolled in those two courses. Data concerning the company's cost formulas appear below: points Fixed Cost per Cost per Cost per Month Course Student $2,950 $290 $1,210 $ 55 $5,200 $2,000 $3,600 $ 43 $ 3 Instructor wages Classroom supplies Utilities Campus rent Insurance Administrative expenses eBook Print For example, administrative expenses should be $3,600 per month plus $43 per course plus $3 per student. The company's sales should average $860 per student. References The company planned to run four courses with a total of 61 students; however, it actually ran four courses with a total of only 57 students. The actual operating results for September appear below: Revenue Instructor wages Classroom supplies Utilities Campus rent Insurance Administrative expenses Actual $49,560 $ 11,080 $17,540 $ 1,840 $ 5,200 $ 2,140 $ 3,381 Required: 1. Prepare the company's planning budget for September. 2. Prepare the company's flexible budget for September. 3. Calculate the revenue and spending variances for September Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the company's planning budget for September. Gourmand Cooking School Planning Budget For the Month Ended September 30 Budgeted courses Budgeted students Revenue Expenses: Instructor wages Classroom supplies Utilities Campus rent Insurance Administrative expenses Total expense Net operating income - Required 1 Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the company's flexible budget for September. Gourmand Cooking School Flexible Budget For the Month Ended September 30 Actual courses Actual students Revenue Expenses: Instructor wages Classroom supplies Utilities Campus rent Insurance Administrative expenses Total expense Net operating income Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Calculate the revenue and spending variances for September. (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.) Gourmand Cooking School Revenue and Spending Variances For the Month Ended September 30 Actual Revenue and Spending Variances Flexible Budget Courses Students 57 Revenue $ 49,560 Expenses: Instructor wages Classroom supplies Utilities Campus rent 11,080 17,540 1,840 5,200 2,140 3,381 41,181 8,379 Insurance Administrative expenses Total expense Net operating income $ Required 2 Required 3