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Barra Inc. uses tenant-days as its measure of activity; a person renting a room for one day is counted as one tenant-day. During July, the
Barra Inc. uses tenant-days as its measure of activity; a person renting a room for one day is counted as one tenant-day. During July, the company budgeted for 3,800 tenant-days, but its actual level of activity was 3,830 tenant-days. The company has provided the following data concerning the formulas used in its budgeting and its actual results for July: Data used in budgeting: Fixed element per month Variable element per tenant-day Revenue 0 Wages and salaries $ 2,700 Food and supplies 1,700 Facility expenses 8,200 Administrative expenses 6,700 Total expenses $ 19,300 Actual results for July: Revenue Wages and salaries Food and supplies Facility expenses Administrative expenses $ 34.70 $7.70 14.20 3.20 0.20 $ 25.30 $ 120,321 $ 28,570 $ 56,975 $ 19,989 $ 7.097
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