Ostler Hotel bases its budgets on guest-days. The hotel's static budget for April appears below:   Budgeted number of guest-days 8,700Budgeted variable overhead costs:  Supplies (@$7.00 per guest-day)$60,900Laundry (@$3.80 per guest-day) 33,060Total variable overhead cost 93,960Budgeted fixed overhead costs:  Wages and salaries 80,910Occupancy costs 38,280Total fixed overhead cost 119,190Total overhead cost$213,150?The total overhead cost at an activity level of 9,700 guest-days per month should be: 

A. $223,950
B. $224,920
C. $237,650
D. $213,150


Answer: A

Business

You might also like to view...

When a company receives interest revenue on a long-term investment in bonds, ________.

A) long-term assets decrease B) long-term assets increase C) equity increases D) current assets decrease

Business

Followers pick up on ethical priorities through what leaders measure and control. This is which cultural change mechanism?

A. reactions to critical incidents B. role modeling C. selection D. attention

Business

Explain the concern that public sector workers have too much bargaining power. Is this concern legitimate?

What will be an ideal response?

Business

Customer service is part of

A. Promotion. B. Product. C. Place. D. Price. E. None of these answers is correct.

Business