Nield Jeep Tours operates jeep tours in the heart of the Colorado Rockies.The company bases its budgets on two measures of activity (i.e. ,cost drivers),namely guests and jeeps.One vehicle used in one tour on one day counts as a jeep.Each jeep has one tour guide.The company uses the following data in its budgeting: In July,the company budgeted for 430 guests and 210 jeeps.The actual activity for the month was 415 guests and 205 jeeps.
Required:
Prepare a report showing the company's activity variances for July.Label each variance as favorable (F)or unfavorable (U).

Question

Nield Jeep Tours operates jeep tours in the heart of the Colorado Rockies.The company bases its budgets on two  measures of activity (i.e. ,cost drivers),namely guests and jeeps.One vehicle used in one tour on one day counts as a jeep.Each jeep has one tour guide.The company uses the following data in its budgeting:  In July,the company budgeted for 430 guests and 210 jeeps.The actual activity for the month was 415 guests and 205 jeeps.
Required:
Prepare a report showing the company's activity variances for July.Label each variance as favorable (F)or unfavorable (U).

Quizplus · Accepted Answer

The Answer of Nield Jeep Tours operates jeep tours in the heart of the Colorado Rockies.The company bases its budgets on two  measures of activity (i.e. ,cost drivers),namely guests and jeeps.One vehicle used in one tour on one day counts as a jeep.Each jeep has one tour guide.The company uses the following data in its budgeting:  In July,the company budgeted for 430 guests and 210 jeeps.The actual activity for the month was 415 guests and 205 jeeps.
Required:
Prepare a report showing the company's activity variances for July.Label each variance as favorable (F)or unfavorable (U).

Nield Jeep Tours Operates Jeep Tours in the Heart of the Colorado