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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

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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 65 students enrolled in those two courses. Data concerning the company's cost formulas appear below: Fixed Cost per cost per cost per Month Course Student Instructor wages $ 2,940 Classroom supplies $ 260 Utilities $ 1,210 $ 90 Campus rent $ 4,900 Insurance $ 2,100 Administrative expenses $ 3,800 $45 $ 6 For example, administrative expenses should be $3,800 per month plus $45 per course plus $6 per student. The company's sales should average $890 per student The company planned to run four courses with a total of 65 students, however, it actually ran four courses with a total of only 63 students. The actual operating results for September were as follows: Actual Revenue $ 54,950 Instructor wages $ 11,840 Classroon supplies $ 16,750 Utilities $ 1,989 Campus rent $ 4,900 Insurance $ 2,240 Administrative expenses $ 3,796 Required: Prepare a flexible budget performance report that shows both revenue and spending variances and activity variances for September (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Required: Prepare a flexible budget performance report that shows both revenue and spending variances and activity variances for September (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Gourmand Cooking School Flexible Budget Performance Report For the Month Ended September 30 Actual Results Revenue and Flexible Spending Variances Budget Activity Variances Planning Budget 4 63 54,950 $ Courses Students Revenue Expenses Instructor wages Classroom supplies Utilities Campus rent Insurance Administrative expenses Total expenso Not operating Income 11,040 16,750 1,980 4,900 2,240 3,796 40,706 14,244 $

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