6.3 Refer to Carroll Clinic's 2012 operating budget, contained in Exhibit 6.2. Instead of the actual results reported in Exhibit 6.3 assume the results reported below: Carroll Clinic: New 2012 Results I. Volume(Number of Visits) Payer A 11,000 Payer B 12,000 Total 23,000 II. Reimbursement (per Visits) Payer A 95 Payer B 95 III. Costs Variable Costs: Supplies 350,000 Fixed Costs: Labor $1,000,000 Overhead 500,000 Total $1,500,000 IV. Forecasted P & L Statement Revenues: Payer A $1,045,000 Payer B 1,140,000 Total Revenues $2,185,000 Variable costs $350,000 Fixed costs 1,500,000 Total $1,850,000 Profit $335,000 6.3 a.) What are the profit, revenue, and cost variances based on the simple (Exhibit 6.2) budget. 6.3 b.) Construct Carroll's flexible budget for 2012. 6.3 c.) What are the profit, revenue, and cost variances based on the flexible budget. 6.3 d.) Interpret your results. In particular, focus on the differences between the variance analysis here and the Carroll Clinic illustration presented in the chapter.