Ahrns Tech is a for-profit vocational school. The school bases its budgets on two measures of activity (i.e., cost drivers), namely student and course. The school uses the following data in its budgeting:
In July, the school budgeted for 1,770 students and 148 courses. The school's income statement showing the actual results for the month appears below:
Required:
Prepare a report showing the school's revenue and spending variances for July. Label each variance as favorable (F) or unfavorable (U).

Question

Ahrns Tech is a for-profit vocational school. The school bases its budgets on two measures of activity (i.e., cost drivers), namely student and course. The school uses the following data in its budgeting:  
In July, the school budgeted for 1,770 students and 148 courses. The school's income statement showing the actual results for the month appears below:  
Required:
Prepare a report showing the school's revenue and spending variances for July. Label each variance as favorable (F) or unfavorable (U).

Quizplus · Accepted Answer

The Answer of Ahrns Tech is a for-profit vocational school. The school bases its budgets on two measures of activity (i.e., cost drivers), namely student and course. The school uses the following data in its budgeting:  
In July, the school budgeted for 1,770 students and 148 courses. The school's income statement showing the actual results for the month appears below:  
Required:
Prepare a report showing the school's revenue and spending variances for July. Label each variance as favorable (F) or unfavorable (U).

Ahrns Tech Is a For-Profit Vocational School