Homework Assignment 2 (5%) Exercise 2. Almana Hospital uses patient-visits as its measure of activity. The hospital has provided the following report: Almana Hospital Comparison of Actual Results to Planning Budget For the Month Ended May 31 Flexible Budget Variances Actual Results 2,000 Planning Budget 2,300 $83.720 $76,110 43,240 44,320 13,990 16,280 Patient-visits Revenue ($36.409) Expenses: Personnel expenses ($20,400 + $10.409) Medical supplies ($1,100 + $6.609) Occupancy expenses ($6,400 + $1.509) Administrative expenses ($2,400 + $0.40) Total expense Net operating income 9,800 9,850 3,080 3.320 70,110 73.770 $9.950 $6,000 Required: a) Prepare a flexible budget. b) Prepare a report showing the hospital's revenue and spending variances for May. e) Label each variance as favorable (F) or unfavorable (U). Fill in the last column of the table above