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Gourley Clinic uses client-visits as its measure of activity. During August, the clinic budgeted for 4,000 client-visits, but its actual level of activity was 3,920
Gourley Clinic uses client-visits as its measure of activity. During August, the clinic budgeted for 4,000 client-visits, but its actual level of activity was 3,920 client-visits. The clinic has provided the following data concerning the formulas to be used in its budgeting:
Fixed element per month | Variable element per client-visit | |
Revenue | $40.60 | |
Personnel expenses | $36,600 | $11.80 |
Medical supplies | 2,600 | 8.60 |
Occupancy expenses | 9,600 | 2.60 |
Administrative expenses | 6,600 | .80 |
Total expenses | $55,400 | $23.80 |
The activity variance for personnel expenses in August would be closest to:
$944 F$3,384 F$3,384 U$944 U
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