- Alyeski Tours Operates Day Tours Of Coastal Glaciers In Alaska On Its Tour Boat The Blue Glacier Management Has Identif 1 (26.93 KiB) Viewed 13 times
- Alyeski Tours Operates Day Tours Of Coastal Glaciers In Alaska On Its Tour Boat The Blue Glacier Management Has Identif 2 (24.1 KiB) Viewed 13 times
Alyeski Tours operates day tours of coastal glaciers in Alaska on its tour boat the Blue Glacier. Management has identified two cost drivers-the number of cruises and the number of passengers-that it uses in its budgeting and performance reports. The
company publishes a schedule of day cruises that it may supplement with special sailings if there is sufficient demand. Up to 80 passengers can be accommodated on the tour boat. Data concerning the
company's cost formulas appear below: Vessel operating costs Advertising Administrative costs Insurance Fixed Cost per Month $ 5,200 $ 1,700 $ 4,300 $ 2,900 Cost per Cruise $ 480.00 $24.00 Cost per Passenger $2.00 Required: Prepare the
company's flexible budget for July. $1.00 For example, vessel operating costs should be $5,200 per month plus $480 per cruise plus $2 per passenger. The
company's sales should average $25 per passenger. In July, the
company provided 24 cruises for a total of 1,400 passengers.
For example, vessel operating costs should be $5,200 per month plus $480 per cruise plus $2 per passenger. The
company's sales should average $25 per passenger. In July, the
company provided 24 cruises for a total of 1,400 passengers. Required: Prepare the
company's flexible budget for July. Alyeski Tours Flexible Budget For the Month Ended July 31 Revenue Expenses: Vessel operating costs Advertising Administrative costs Insurance Total expense Net operating income $ 0 0