JAR-852 tour company uses two measures of activity, routes and passengers in its cost formulas used...

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JAR-852 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 $56,900 per month plus $2,888 per route plus $15 per passenger. The company expected in August to perform 88 routes and serve 258 passengers, but the actual activity was 93 routes and 268 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 $9,814 Unfavorable $24,404 Unfavorable $9,814 Favorable JAR-852 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 $56,900 per month plus $2,888 per route plus $15 per passenger. The company expected in August to perform 88 routes and serve 258 passengers, but the actual activity was 93 routes and 268 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 $9,814 Unfavorable $24,404 Unfavorable $9,814 Favorable