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Gandrud 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 June,

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Gandrud 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 June, the kennel budgeted for 2,600 tenant- days, but its actual level of activity was 2,580 tenant-days. The kennel has provided the following data concerning the formulas to be used in its budgeting: Variable element per tenant-day $37.10 $7.30 14.00 2.60 0.30 $24.20 Fixed element per month Revenue Wages and salaries Food and supplies Facility expenses Administrative expenses Total expenses $3,400 1,200 9,600 7,700 $21,900 The food and supplies in the flexible budget for June would be closest to: $37,569 O $37,600 $36,993 $37,320

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