JAR-647 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 $56,850 per month plus $2,878 per route plus $17 per passenger. The company expected in August to perform 87 routes and serve 257 passengers, but the actual activity was 96 routes and 264 passengers. The actual tour operating costs in August was $305,100. The spending variance for tour operating costs in August would be closest to: Multiple Choice $26,021 Favorable $6,505 Unfavorable $32,526 Unfavorable $32,526 Favorable $6,505 Favorable