Question

Help Alyeski Tours operates day tours of coastal glaciers in Alaska on its tour boat the Blue Glacier. Management has identified two cost drivers--the number of cruises and the number of passengers-that it uses in its budgeting and performance reports. The company publishes a schedule of day cruises that it may supplement with special sailings if there is sufficient demand. Up to 89 passengers can be accommodated on the tour boat. Data concerning the company's cost formulas appear below Cost per Cruise $ 476.00 Cost per Passenger $ 3.00 Vessel operating costs Advertising Ministrative costs Fixed Cost per Month $ 6,800 $ 2,300 $ 5. $ 34.ee For example, vessel operating costs should be $6.800 per month plus $476.00 per cruise plus $3.00 per passenger. The company's sales should average $31.00 per passenger. In July, the company provided 53 cruises for a total of 3,000 passengers. Required: Prepare the company's flexible budget for July Alyeski Tours Flexible Budget For the Month Ended July 31 Revenue Expenses Advertising Administrative costs < Prey 4 of 5 Next > search

Answer 1

Solution 1:

Alyeski Tours
Flexible Budget
For the month ended July 31
Cruises	53
Passengers	3000
Revenue	$93,000
Expense:
Vessel operating expense	$41,028
Advertising	$2,300
admin. Costs	$11,602
Insurance	$35,000
Total Expenses	$89,930
Net Operating Income	$3,070

2. General - - Home Insert Page Layout Excel Poo-1.1 - Microsoft Excel - 7 X File Formulas Dala Review View Insert Function AutoSum Recently Financial Logical Text Date & Lookup & Math & More Used - - - Time - Reference Trig Functions Function Library H7 For the month ended July 31 Detine Name Use in Formula Name Manager Create from Selection Defined Names Trace Precedents Show Formulas Trace Dependents Error Checking Watch Remove Arrows Evaluate Formula Window Formula Auditing calculate Now Calculation calculate Sheet Options Calculation mi Alyeski Tours Flexible Budget For the month ended July 31 00 Cruises 53 Passengers 3000 = 19*31 Revenue Expense: Vessel operating expense Advertising admin. Costs Insurance Total Expenses Net Operating Income =6800+(18*476)+(1963) 2300 =5300+(18*34)+(19*1.5) 35000 ESUM(113:116) =111-117 23 24 25 ► Sheet589 Ready Calculate Sheet590 Sheet344 (3) Sheet592 Sheet79 (9) Sheet594 Sheet524 (2) Sheet581 Sheet582 H O Type here to search o e @ 0x 08:11 Aux GC ENG 25-11-2019 2

Solution 2:

Lavage Rapide
Flexible Budget Performance Report
For the month ended August 31
Particulars	Actual results	Revenue and spending variances		Flexible Budget	Activity Variances		Planning Budget
Car Washed	8300			8300			8200
Revenue	$53,760.00	$1,470.00	F	$52,290.00	$630.00	F	$51,660.00
Expenses:
Cleaning Supplies	$4,600.00	$450.00	U	$4,150.00	$50.00	U	$4,100.00
Electricity	$1,862.00	$36.00	F	$1,898.00	$6.00	U	$1,892.00
Maintenance	$2,290.00	$215.00	U	$2,075.00	$25.00	U	$2,050.00
Wages and Salaries	$7,620.00	$330.00	U	$7,290.00	$30.00	U	$7,260.00
Depreciation	$8,500.00	$0.00	None	$8,500.00	$0.00	None	$8,500.00
Rent	$2,200.00	$200.00	U	$2,000.00	$0.00	None	$2,000.00
Administrative expenses	$1,582.00	$101.00	F	$1,683.00	$1.00	U	$1,682.00
Total Expenses	$28,654.00	$1,058.00	U	$27,596.00	$112.00	U	$27,484.00
Net Operating Income	$25,106.00	$412.00	F	$24,694.00	$518.00	F	$24,176.00

2. General - - Home Insert Page Layout Excel Poo-1.1 - Microsoft Excel - 7 X File Formulas Dala Review View Insert Function More Functions AutoSum Recently Financial Logical Text Date & Lookup & Math & Used Time Reference Trig Function Library A10 Define Name Use in Formula Name Manager Create from Selection Defined Names Trace Precedents Show Formulas Trace Dependents Error Chexing Watch Remove Arrows ) Evaluate Formula Window Formula Auditing calculate Now Calculation calculate Sheet Options Calculation E Lavage Rapide Flexible Budget Performance Report For the month ended August 31 Revenue and spending variances Flexible Budget 8300 Particulars Actual results Activity Variances Planning Budget Car Washed 8300 8200 Revenue 52760 =ABS(D10-G10) F ARSID10.10 =G8-6.3 =ABS(G10-J10) F =18*6.3 Expenses: Cleaning Supplies 4600 =ABS(D12-G12) U =G8 0.5 =ABS( G12-J12) U =18*0.5 Electricity 1862 =ABS(D13-G13) F = 1400+(G8*0.06) |=ABS(G13-J13) U =1400+(18*0.06) Maintenance 2290 =ABS(D14-G14) U =G8+0.25 =ABS(G14-J14) U =18+0.25 Wages and Salaries 7620 =ABS(D15-G15) U =4800+(G8*0.3) =ABS(G15-J15) U =4800+(18*0.3) Depreciation 8500 =ABS(D16-G16) None 8500 =ABS(G16-J16) None 8500 Rent 2200 =ABS(D17-G17) U 2000 =ABS(G17-J17) None 2000 Administrative expenses 1582 ABS(D18-G18) F -1600+(G8*0.01) |=ABS(G18-J18) U =1600+(J8*0.01) Total Expenses =SUM(D12:018) =ABS(D19-G19) U SUM(G12:618) =ABS(G19-J19) U =SUM(J12:18) Net Operating Income =D10-D19 E ABS(D21-G21) F =G10-G19 =ABS(G21-J21) F =J10-J19 21 22 23 24 Sheet74 Sheet75 Sheet 76 Sheet319 (2) Sheet403 Sheet114 (3) Sheet786 Sheet81 Sheet NO N Sheet697 Ready Calculate + EDP 100% 0 ... 08-06 E . ENG 25-11-2019 H O Type here to search Ale ROA D 2