Business, 01.06.2021 01:00 rilee3344

Groupe 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 $36,120 per month plus $2,034 per flight plus $1 per passenger. The company expected its activity in October to be 72 flights and 222 passengers, but the actual activity was 71 flights and 227 passengers. The actual cost for plane operating costs in October was $179,040. The activity variance for plane operating costs in October would be closest to:. A) $1,824 F.
B) $1,824 U.
C) $4,727 U.
D) $4,727 F.

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Groupe Air uses two measures of activity, flights and passengers, in the cost formulas in its budget...

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