JAR-499 tour company uses two measures of activity, routes and passengers in its cost formulas used for budgeting and performance evaluation. The cost formula for tour operating costs Is $56,870 per month plus $2,876 per route plus $17 per passenger The company expected in August to perform 86 routes and serve 259 passengers, but the actual activity was 95 routes and 269 passengers. The actual tour operating costs in August was $305.100. The spending variance for tour operating costs in August would be closest to:

$3,509 Favorable

$26,054 Favorable

$29,563 Favorable

$3.509 Unfavorable