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Kroner 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 March,
Kroner 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 March, the kennel budgeted for 4,900 tenant-days, but its actual level of activity was 4,930 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for March: Data used in budgeting: Fixed cost per month Variable cost per tenant-day Revenue - $ 35.40 Wages and salaries $ 2,100 $ 8.80 Food and supplies 1,300 15.30 Facility expenses 7,700 4.30 Administrative expenses 6,200 0.10 Total expenses $ 17,300 $ 28.50 Actual results for March: Revenue $ 150,135 Wages and salaries $ 28,680 Food and supplies $ 77,130 Facility expenses $ 28,225 Administrative expenses $ 7,108 The revenue variance for March would be closest to: Multiple Choice $24,387 F $23,325 U $23,325 F Incorrect $24,387 U
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