Papenfuss Family Inn is a bed and breakfast establishment in a converted 100-year-old mansion. The Inn's guests appreciate its gourmet breakfasts and individually decorated rooms. The Inn's overhead budget for the most recent month appears below:
Activity level
86
guests
Variable overhead costs:
Supplies
$86.00
Laundry
507.40
Fixed overhead costs:
Utilities
340.00
Salaries and wages
4,790.00
Depreciation
2,620.00
Total overhead cost
$8,343.40
The Inn's variable overhead costs are driven by the number of guests. What would be the total budgeted overhead cost for a month if the activity level is 76 guests?
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