M5 CONNECT Homework - Ch 09 Saved Help Save & Exit Submit Check my work 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 4 appear below: points Fixed 02:27:34 Cost per Cost per Cost per Month Course Student Instructor wages $ 2,940 Classroom supplies $ 280 Utilities $ 1, 240 $ 90 Campus rent $ 5, 100 Book Insurance $ 2, 100 Administrative expenses $ 3,800 $ 40 $ 7 For example, administrative expenses should be $3,800 per month plus $40 per course plus $7 per student. The company's sales References should average $880 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 were as follows: Actual Revenue $ 50,780 Instructor wages $ 11, 040 Classroom supplies $ 16,930 Utilities $ 2,010 Campus rent $ 5,100 Insurance $ 2,240 Administrative expenses $ 3, 813 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 (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 Planning Budget Budget Courses Students 51 51 Revenue $ 50,780 Mc Graw M5 CONNECT Homework - Ch 09 Saved Help Save & Exit Submit Check my work Administrative expenses $ 3, 800 $ 40 $ 7 For example, administrative expenses should be $3,800 per month plus $40 per course plus $7 per student. The company's sales should average $880 per student. 4 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 points students. The actual operating results for September were as follows: 8 02:27:22 Actual Revenue $ 50,780 Instructor wages $ 11, 040 Classroom supplies $ 16,930 Utilities $ 2,010 Campus rent $ 5,100 Book Insurance $ 2,240 Administrative expenses $ 3, 813 Required: References 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 (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 Planning Budget Budget Courses 4 Students 51 51 Revenue $ 50,780 Expenses Instructor wages 11,040 Classroom supplies 16,930 Utilities 2,010 Campus rent 5,100 Insurance 2,240 Administrative expenses 3,813 Total expense 41,133 Net operating income $ 9.647 Mc Graw