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The Latiker commuter bus company uses two measures of activity, routes and commuters, in the cost formulas in its budgets and performance reports. The cost
The Latiker commuter bus company uses two measures of activity, routes and commuters, in the cost formulas in its budgets and performance reports. The cost formula for bus operating costs is $56,070 per month plus $2,880 per route plus $17 per commuter. The company expected its activity in November to be 87 routes and 258 commuters, but the actual activity was 97 routes and 269 commuters. The actual cost for bus operating costs in November was $305,100. The spending variance for bus operating costs in November would be closest to Multiple Choice O $6.716 Unfavorable $28,987 Favorable O $35.703 Unfavorable $35,703 Favorable $6,716 Favorable The Laker commuter bus company uses two measures of activity, routes and commuters, in the cost formulas in its budgets and performance reports. The cost formula for bus operating costs is $56,870 per month plus $2,880 per route plus $17 per commuter. The company expected its activity in November to be 87 routes and 258 commuters, but the actual activity was 97 routes and 269 commuters. The actual cost for bus operating costs in November was $305,100. The spending variance for bus operating costs in November would be closest to Multiple Choice 56.716 Unfavorable $28.987 Favorable $35,703 Unfavorable $35,703 Favorable
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