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The Gourmand Cooking School runs short cooking courses at its small campus. Management has Identified two cost drivers it uses in Its budgeting and

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The Gourmand Cooking School runs short cooking courses at its small campus. Management has Identified two cost drivers it uses in Its budgeting and performance reports-the number of courses and the total number of students. For example, the school might run two courses in a month and have a total of 64 students enrolled in those two courses. Data concerning the company's cost formulas appear below: Instructor wages Classroom supplies Fixed Cost per cost per Month Course $ 2,940 cost per Student $ 290 utilities Campus rent Insurance $ Administrative expenses $1,250 4,500 $ 2,300 $3,800 $ 50 $46 5.7 For example, administrative expenses should be $3,800 per month plus $46 per course plus $7 per student. The company's sales should average $870 per student. The company planned to run four courses with a total of 64 students; however, it actually ran four courses with a total of only 62 students. The actual operating results for September were as follows. Revenue Instructor wages classroom supplies utilities Campus rent Insurance Administrative expenses Actual $52,780 $ 11,040 $ 18,410 $1,060 $ 4,500 $ 2,440 $3,858

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