Exercise 9-12 Working with More Than One Cost Driver [LO9-1, LO9-2, LO9-3] 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 64 students enrolled in those two courses. Data concerning the company's cost formulas appear below: Fixed Cost per Cost per Cost per rse Student Month Cou $2,970 Instructor wages Classroom supplies Utilities $310 $1,240 85 $4,800 $2,100 $3,600 46 Campus rent Insurance Administrative expenses For example, administrative expenses should be $3,600 per month plus $46 per course plus $5 per student. The company's sales should average $870 per student. The company planned to run four courses with a total of 64 students; however, it actually ran four courses with a total of only 56 students. The actual operating results for September appear below: Actual $52,780 $11,160 $19,690 $ 1,990 $ 4,800 $ 2,240 $ 3,530 Revenue Instructor wages Classroom supplies Utilities Campus rent Insurance Administrative expenses 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. Complete this question by entering your answers in the tabs below Required 1Required 2 Required 3 Prepare the company's planning budget for September Gourmand Cooking School Planning Budget For the Month Ended September 30 Revenue Expenses: Instructor wages Classroom supplies Utilities Campus rent Insurance Administrative expenses Total expense Net operating income Required 1 Required 2> Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the company's flexible budget for September. Gourmand Cooking School Flexible Budget For the Month Ended September 30 Revenue Expenses: Instructor wages Classroom supplies Utilities Campus rent Insurance Administrative expenses Total expense Net operating income Required Required 3> Required 1Required 2 Required 3 Calculate the revenue and spending variances for September. (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 Revenue and Spending Variances For the Month Ended September 30 Actual Revenue and SpendingFlexible Budget Results Variances Courses 4 Students 56 $52,780 Revenue Expenses 11,160 Instructor wages Classroom supplies 19,690 Utilities 1,990 Campus rent 4,800 Insurance 2,240 Administrative expenses 3,530 43,410 Total expense $ 9,370 Net operating income Required 2 Required 3