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$$the number of courses and the total number of students. For example, the school might run two courses in a month and have a total of $61$ students enrolled in those two courses. Data concerning the company$$s cost formulas appear below:

Fixed Cost per Month Cost per Course Cost per Student

Instructor wages $ $2,900$

Classroom supplies $ $280$

Utilities $ $1,240$ $ $80$

Campus rent $ $4,800$

Insurance $ $2,000$

Administrative expenses $ $3,800$ $ $43$ $ $7$

For example, administrative expenses should be $$3,800$ per month plus $$43$ 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 $61$ students; however, it actually ran four courses with a total of only $51$ students. The actual operating results for September appear below:

Actual

Revenue $ $50,170$

Instructor wages $ $10,880$

Classroom supplies $ $16,930$

Utilities $ $1,970$

Campus rent $ $4,800$

Insurance $ $2,140$

Administrative expenses $ $3,825$

Required:

$1.$ Prepare the company$$s planning budget for September.

$2.$ Prepare the company$$s flexible budget for September.

$3.$ Calculate the revenue and spending variances for September.