Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Kirnon Clinic uses client-visits as its measure of activity. During July, the clinic budgeted for 3,550 client-visits, but its actual level of activity was 3,490

Kirnon Clinic uses client-visits as its measure of activity. During July, the clinic budgeted for 3,550 client-visits, but its actual level of activity was 3,490 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 - $ 39.70
Personnel expenses $ 35,700 $ 10.90
Medical supplies 1,700 7.70
Occupancy expenses 8,700 1.70
Administrative expenses 5,700 0.80
Total expenses $ 51,800 $ 21.10

The activity variance for personnel expenses in July would be closest to:

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

Surviving A HIPAA Audit Learning The Art Of Compliance

Authors: Dave Sweigert

1st Edition

1507617453, 978-1507617458

More Books

Students also viewed these Accounting questions