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Exercise 9-18 Working with More Than One Cost Driver (LO9-2, LO9-3, LO9-4, LO9-5) 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 63 students enrolled in those two courses. Data concerning the company's cost formulas appear below Fixed Cost Cost per per Month Course $ 2, 950 Cost per Student $ 280 Instructor vages Classroon supplies Utilities Campus rent Insurance Administrative expenses $ 70 $ 1,240 $ 4.800 $ 2,300 $ 3,900 3 42 $ 6 For example, administrative expenses should be $3,900 per month plus $42 per course plus $6 per student. The company's sales should average $890 per student. The company planned to run four courses with a total of 63 students, however, it actually ran four courses with a total of only 59 students. The actual operating results for September appear below Revenue Instructor wages Classroon supplies Utilities Campus rent Insurance Adainistrative expenses Actual 3 53. 170 3 11,080 $ 17, 490 $ 1,930 $ 4, 800 3 2. 440 $ 3,872 Required: Prepare a flexible budget performance report that shows both revenue and spending variances and activity variances for September (Indicate the effect of each variance by selecting "F" for favorable. "U" for unfavorable, and "None" for no effect (ie.. zero variance). Input all amounts os positive values.) Required: Prepare a flexible budget performance report that shows both revenue and spending variances and activity variances for Septer (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Gourmand Cooking School Flexible Budget Performance Report For the Month Ended September 30 Actual Results Flexible Budget Planning Budget 4 Courses Students 59 ces $ 53,170 Revenue Expenses Instructor wages Classroom supplies Utilities Campus rent Insurance Administrative expenses Total expense Net operating income 11,080 17.490 1,930 4.800 2,440 3,872 41,612 11.558 S