Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Dinham Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During
Dinham Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During March, the kennel budgeted for 5,200 tenant-days, but its actual level of activity was 5,230 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for March: Data used in budgeting: Revenue Wages and salaries Food and supplies Facility expenses Administrative expenses Total expenses Actual results for March: Revenue Wages and salaries Fixed element per month Variable element per tenant-day $ 0 $ 35.70 $ 2,400 1,600 8,000 $ 9.10 15.60 4.60 6,500 0.40 $ 18,500 $ 29.70 $ 171,323 $ 28,710 Food and supplies Facility expenses Administrative expenses $ 82,980 $ 32,258 $ 7,111 The spending variance for facility expenses in March would be closest to:
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