Diiorio Clinic uses client-visits as its measure of activity. During February, the clinic budgeted for 2,700 client-visits, but its actual level of activity was 2,750 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for February: Data used in budgeting:

The net operating income in the flexible budget for February would be closest to:

	a)	$15,889
	b)	$15,316
	C)	$10,920
	D)	$11,750

Fixed element per month Variable element per client-visit $37.10 Revenue.... Personnel expenses. Medical supplies Occupancy expenses Administrative expenses ...... Total expenses $23,000 600 6,300 4,000 $33,900 $11.40 7.00 1.80 0.30 $20.50 Actual results for February: Revenue.. Personnel expenses Medical supplies Occupancy expenses ........... Administrative expenses ...... ......... $104,565 $53,530 $19,690 $10,980 $4,765