7pts) Dublin Air uses two measures of activity, flights and passengers, in the cost formulas in its budgets and performance reports. The cost formula for plane operating costs is $36,210 per month plus $2,052 per flight plus $1 per passenger. The company expected its activity in October to be 81 flights and 231 passengers, but the actual activity was 80 flights and 236 passengers. The actual cost for plane operating costs in October was $196,000. The activity variance for plane operating costs in October would be closest to: A) $2,047 F B) $6,653 U C) $2,047 U D) $6,653 F-

7pts) Dublin Air uses two measures of activity, flights and passengers, in the cost formulas in its budgets and performance reports. The cost formula for plane operating costs is $36,210 per month plus $2,052 per flight plus $1 per passenger. The company expected its activity in October to be 81 flights and 231 passengers, but the actual activity was 80 flights and 236 passengers. The actual cost for plane operating costs in October was $196,000. The activity variance for plane operating costs in October would be closest to: A) $2,047 F B) $6,653 U C) $2,047 U D) $6,653 F-

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter10: Cost Analysis For Management Decision Making

Section: Chapter Questions

Problem 6E: The fixed overhead budgeted for Ranier Industries at an expected capacity of 500,000 units is...

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