Question
aizure Clinic uses patient-visits as its measure of activity. The clinic bases its budgets on the following information: Revenue should be $64.90 per patient-visit. Personnel
aizure Clinic uses patient-visits as its measure of activity. The clinic bases its budgets on the following information: Revenue should be $64.90 per patient-visit. Personnel expenses should be $36,600 per month plus $16.70 per patient-visit. Medical supplies should be $2,900 per month plus $12.10 per patient-visit. Occupancy expenses should be $9,300 per month plus $6.50 per patient-visit. Administrative expenses should be $4,800 per month plus $4.60 per patient-visit.
The clinic reported the following actual results for November:
Patient-visits | 2,890 | ||||||||
Revenue | $ | 209,240 | |||||||
Personnel expenses | $ | 91,320 | |||||||
Medical supplies | $ | 41,840 | |||||||
Occupancy expenses | $ | 20,950 | |||||||
Administrative expenses | $ | 11,350 | |||||||
Required:
Prepare a report showing the clinic's revenue and spending variances for November. Label each variance as favorable (F) or unfavorable (U). (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)
|
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started