The actual cost for the plane operating costs in april was

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Reference no: EM13454319

Thomasson 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 $36,290 per month plus $2,068 per flight plus $1 per passenger. The company expected its activity in April to be 89 flights and 239 passengers, but the actual activity was 88 flights and 244 passengers. The actual cost for plane operating costs in April was $211,040. The activity variance for plane operating costs in April would be closest to:

$2,063 F
$9,541 U
$2,063 U
$9,541 F

Reference no: EM13454319

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