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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
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 hove o total of 62 students enrolled in those two courses. Dota concerning the compony's cost formulas oppear below: For example, administrative expenses should be $3,600 per month plus $45 per course plus $5 per student. The company's sales should overoge $860 per student. The compony plonned to run four courses with o total of 62 students; however, it actuslly ron four courses with 8 totsl of only 52 students. The sctusl operoting results for September were ss follows: Required: Prepsre a flexible budget performance report that shows both revenue and spending voriances and activity voriances for September. (Indicate the effect of each varlance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (I.e., zero varlance). Input all amounts as positive values.)
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