Vessel operating costs Advertising Fixed Cost per Cost per Cost per Month Cruise $ 6,800 $ 476.00 $ 3,000 Passenger $ 3.50 Administrative costs Insurance $ 5,800 $ 33.00 $ 3,500 $ 1.50 For example, vessel operating costs should be $6,800 per month plus $476.00 per cruise plus $3.50 per passenger. The company's sales should average $32.00 per passenger. In July, the company provided 55 cruises for a total of 3,050 passengers. Required: Prepare the company's flexible budget for July. Alyeski Tours Flexible Budget For the Month Ended July 31 Actual cruises Actual passengers Revenue Expenses: Vessel operating costs Advertising Administrative costs Insurance Total expense Net operating income $ 0
Vessel operating costs Advertising Fixed Cost per Cost per Cost per Month Cruise $ 6,800 $ 476.00 $ 3,000 Passenger $ 3.50 Administrative costs Insurance $ 5,800 $ 33.00 $ 3,500 $ 1.50 For example, vessel operating costs should be $6,800 per month plus $476.00 per cruise plus $3.50 per passenger. The company's sales should average $32.00 per passenger. In July, the company provided 55 cruises for a total of 3,050 passengers. Required: Prepare the company's flexible budget for July. Alyeski Tours Flexible Budget For the Month Ended July 31 Actual cruises Actual passengers Revenue Expenses: Vessel operating costs Advertising Administrative costs Insurance Total expense Net operating income $ 0
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Munabhai
Transcribed Image Text:Vessel operating costs
Advertising
Administrative costs
Insurance
Month
Fixed
Cost per Cost per Cost per
Cruise Passenger
$ 6,800 $ 476.00
$ 3,000
$ 3.50
$ 5,800 $ 33.00
$ 3,500
$ 1.50
For example, vessel operating costs should be $6,800 per month plus $476.00 per cruise plus $3.50 per passenger. The company's
sales should average $32.00 per passenger. In July, the company provided 55 cruises for a total of 3,050 passengers.
Required:
Prepare the company's flexible budget for July.
Alyeski Tours
Flexible Budget
For the Month Ended July 31
Actual cruises
Actual passengers
Revenue
Expenses:
Vessel operating costs
Advertising
Administrative costs
Insurance
Total expense
0
Net operating income
$
0
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