Siam Resort has prepared the following budgeted amounts for its costs for 2025. Siam Resort has 32 luxury rooms available in the resort. It operates 365 days of the year.

Required

(a) Prepare a fixed budget performance report for 2025 by preparing a budget for each cost item based on its fixed costs plus the variable cost per room night multiplied by the actual number of room nights occupied. Compare this budget with the actual costs incurred.

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Variable cost per room per night Costs Fixed amount Wages $128 000 $6.00 Electricity 24 000 4.00 Cleaning 32 000 6.00 Supplies 8 400 1.50 Water 15 600 0.20 4 800 1.20 Maintenance The actual occupancy rate for the year was 80 %. The actual costs incurred for the year were as follows. Wages Electricity Cleaning Supplies Water Maintenance $194 000 49 000 88 000 18 000 22 800 20 200