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Fager Clinic uses client-visits as its measure of activity. During February, the clinic budgeted for 2,400 client-visits, but its actual level of activity was 2,450

Fager Clinic uses client-visits as its measure of activity. During February, the clinic budgeted for 2,400 client-visits, but its actual level of activity was 2,450 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:

Fixed element per month Variable element per client-visit
Revenue - $ 70.20
Personnel expenses $ 34,300 $ 23.50
Medical supplies 3,200 14.50
Occupancy expenses 11,700 5.40
Administrative expenses 7,000 2.10
Total expenses $ 56,200 $ 45.50

Actual results for February:

Revenue $ 176,210
Personnel expenses $ 84,445
Medical supplies $ 34,105
Occupancy expenses $ 20,800
Administrative expenses $ 9,015

The revenue variance for February would be closest to:

Multiple Choice

$4,220 U

$4,220 F

$7,730 U

$7,730 F

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