Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Duprey Clinic uses client-visits as its measure of activity. During January, the clinic budgeted for 2,200 client-visits, but its actual level of activity was 2,150

Duprey Clinic uses client-visits as its measure of activity. During January, the clinic budgeted for 2,200 client-visits, but its actual level of activity was 2,150 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for January: Data used in budgeting: Fixed Element per Month Variable element per client-visit Revenue - $ 58.40 Personnel expenses $ 33,500 $ 18.00 Medical supplies 1,000 9.90 Occupancy expenses 9,300 2.20 Administrative expenses 5,300 0.40 Total expenses $ 49,100 $ 30.50 Actual results for January: Revenue $ 127,950 Personnel expenses $ 69,720 Medical supplies $ 23,125 Occupancy expenses $ 14,290 Administrative expenses $ 5,930 The administrative expenses in the planning budget for January would be closest to: Multiple Choice $6,160 $6,180 $5,930 $6,068

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Shenanigans How To Detect Accounting Gimmicks And Fraud In Financial Reports

Authors: Howard M. Schilit, Jeremy Perler, Yoni Engelhart

4th Edition

126011726X, 9781260117264

More Books

Students also viewed these Finance questions

Question

What are the assumptions of the test based on the ????-ratio?

Answered: 1 week ago