Lizana Clinic uses client-visits as its measure of activity. During December, the clinic budgeted for 3,600 client-visits, but its actual level of activity was 3,580 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for December

Data used in budgeting:

	Fixed element per month	Variable element per client visit
Revenue		$35.60
Personnel expenses	$27,600	$11.60
Medical supplies	1,600	5.60
Occupancy expenses	10,600	1.00
Administrative expenses	6,600	0.20
Total expenses	$46,400	$18.40

Actual results for December:

Revenue	$124,710
Personnel expenses	$72,060
Medical supplies	$22,712
Occupancy expenses	$14,660
Administrative expenses	$8,165

The activity variance for net operating income in December would be closest to:

$344 F

$8,407 U

$8,407 F

$344 U