2.

Tennies Clinic uses client-visits as its measure of activity. During November, the clinic budgeted for 3,450 client-visits, but its actual level of activity was 3,440 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for November: Data used in budgeting: Fixed Variable element element per per month client-visit - $35.70 Revenue Personnel expenses Medical supplies Occupancy expenses Administrative expenses Total expenses $29,800 1,350 7,900 6,200 $ 45,250 $10.70 6.10 2.20 0.30 $ 19.30 Speyer Medical Clinic measures its activity in terms of patient-visits. Last month, the budgeted level of activity was 1,160 patient visits and the actual level of activity was 1,150 patient-visits. The cost formula for administrative expenses is $4.00 per patient-visit plus $22,000 per month. The actual administrative expense was $22,300. In the clinic's flexible budget performance report for last month, the spending variance for administrative expenses was: LBC Corporation makes and sells a product called Product WZ. Each unit of Product WZ requires 2.8 hours of direct labor at the rate of $24.00 per direct labor-hour. Management would like you to prepare a Direct Labor Budget for June. The company plans to sell 47,000 units of Product WZ in June. The finished goods inventories on June 1 and June 30 are budgeted to be 590 and 150 units, respectively. Budgeted direct labor costs for June would be