Cryan Jeep Tours operates jeep tours in the heart of the Colorado Rockies. The company bases its budgets on two measures of activity $($i$.$e$.,$ cost drivers$),$ namely guests and jeeps. One vehicle used in one tour on one day counts as a jeep. Each jeep has one tour guide. The company uses the following data in its budgeting:

Fixed element per month Variable element per guest Variable element per jeep

Revenue $ $0$ $ $117$ $ $0$

Tour guide wages $ $0$ $ $0$ $ $171$

Vehicle expenses $ $4,600$ $ $5$ $ $60$

Administrative expenses $ $1,100$ $ $4$ $ $0$

In May, the company budgeted for $447$ guests and $152$ jeeps. The company's income statement showing the actual results for the month appears below:

Cryan Jeep Tours

Income Statement

For the Month Ended May $31$

Actual guests $462$

Actual jeeps $147$

Revenue $ $53,854$

Expenses:

Tour guide wages $25,157$

Vehicle expenses $15,640$

Administrative expenses $2,888$

Total expense $43,685$

Net operating income $ $10,169$

Required:

Prepare a report showing the company's revenue and spending variances for May. Label each variance as favorable $($F$)$ or unfavorable $($U$).$Cryan Jeep Tours operates jeep tours in the heart of the Colorado Rockies. The company bases its budgets on two measures of activity $($i$.$e$.,$ cost drivers$),$

namely guests and jeeps. One vehicle used in one tour on one day counts as a jeep. Each jeep has one tour guide. The company uses the following data

in its budgeting:

In May, the company budgeted for $447$ guests and $152$ jeeps. The company's income statement showing the actual results for the month appears below:

Required:

Prepare a report showing the company's revenue and spending variances for May. Label each variance as favorable $($F$)$ or unfavorable $($U$).$