Mandalay Hotel bases its budgets on guest-days. The hotel’s…
Mandalay Hotel bases its budgets on guest-days. The hotel’s static budget for August appears below: Budgeted number of guest-days 4,300 Budgeted variable costs: Supplies (@$9.60 per guest-day) $41,280 Laundry (@$9.40 per guest-day) $40,420 Total variable cost $81,700 Budgeted fixed costs: Wages and salaries $57,190 Occupancy costs $52,030 Total fixed cost $109,220 Total cost $190,920 The total fixed cost at the activity level of 5,500 guest-days per month should be (PLEASE SHOW YOUR WORK BY USING THE HONORLOCK ON-SCREEN CALCULATOR):
Read DetailsSherburne Snow Removal’s cost formula for its vehicle operat…
Sherburne Snow Removal’s cost formula for its vehicle operating cost is $2,510 per month plus $371 per snow-day. For the month of March, the company planned for activity of 18 snow-days, but the actual level of activity was 17 snow-days. The actual vehicle operating cost for the month was $8,460. The vehicle operating cost in the flexible budget for March would be closest to (PLEASE SHOW YOUR WORK BY USING THE HONORLOCK ON-SCREEN CALCULATOR):
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