Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Groupe Air uses two measures of activity, flights and passengers, in the cost formulas in its budgets and performance reports. The cost formula for plane

Groupe Air uses two measures of activity, flights and passengers, in the cost formulas in its budgets and performance reports. The cost formula for plane operating costs is $36,180 per month plus $2,046 per flight plus $1 per passenger. The company expected its activity in October to be 78 flights and 228 passengers, but the actual activity was 77 flights and 233 passengers. The actual cost for plane operating costs in October was $191,500. The activity variance for plane operating costs in October would be closest to:

$2,041 F $4,496 U $4,496 F $2,041 U

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Comparative international accounting

Authors: Christopher nobes, Robert parker

9th Edition

273703579, 978-0273703570

More Books

Students also viewed these Accounting questions

Question

Amortization for 2 0 2 4 , $ 1 . on a t account

Answered: 1 week ago