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Bures 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 April, the company budgeted for 360 guests and 134 jeeps. The actual activity for the month was 335 guests and 136 jeeps.

Required:

Prepare a report showing the company's activity variances for April. Label each variance as favorable (F) or unfavorable (U).

 

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M947319

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