Standahi Air uses two measures of activity, flights and passengers, in the cost formulas in...
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Standahi 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 $41,390 per month plus $2,829 per flight plus $22 per passenger. The company expected its activity in August to be 100 flights and 312 passengers, but the actual activity was 103 flights and 315 passengers. The actual cost for plane operating costs in August was $264,690. The plane operating costs in the planning budget for August would be closest to: Multiple Choice $264,690 $331154 $339,707 $319.836
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