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 reportsthe 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 60 students enrolled in those two courses. Data concerning the companys cost formulas appear below:

	Fixed Cost per Month		Cost per Course		Cost per Student
Instructor wages			$	2,920
Classroom supplies					$	280
Utilities	$	1,240	$	65
Campus rent	$	5,100
Insurance	$	2,200
Administrative expenses	$	3,800	$	42	$	5

For example, administrative expenses should be $3,800 per month plus $42 per course plus $5 per student. The companys sales should average $880 per student.

The company planned to run four courses with a total of 60 students; however, it actually ran four courses with a total of only 56 students. The actual operating results for September appear below:

	Actual
Revenue	$	49,900
Instructor wages	$	10,960
Classroom supplies	$	16,650
Utilities	$	1,910
Campus rent	$	5,100
Insurance	$	2,340
Administrative expenses	$	3,694

Required:

1. Prepare the companys planning budget for September.

2. Prepare the companys flexible budget for September.

3. Calculate the revenue and spending variances for September.