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per month Tervo Jeep Tours operates jeep tours in the heart of the Colorado Rockies. The company bases its budgets on two measures of activity

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per month Tervo 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 Variable element Variable element per guest per jeep Revenue. $0 $101 $0 Tour guide wages $0 $0 $136 Vehicle expenses. $4,900 $8 $57 Administrative expenses ...... $1,000 $2 $0 In March, the company created a planning budget based upon 492 guests and 165 jeeps. The company's income statement showing the actual results for the month appears below: Tervo Jeep Tours Income Statement For the Month Ended March 31 Actual guests 497 Actual jeeps.. 163 Revenue $49,067 Expenses: Tour guide wages. 21,858 Vehicle expenses.. 17,917 Administrative expenses. 2,014 Total expense 41,789 Net operating income $ 7.278 What amount of anticipated vehicle expenses will be included in the company's flexible budget for March? O $18,241 O $18,167 O $17,917 O $22,168

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