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Rhed 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
Rhed 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 December, the kennel budgeted for 4,650 tenant-days, but its actual level of activity was 4,600 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for December: Data used in budgeting: Fixed Variable element element per per month tenant-day $35.80 Revenue Wages and salaries Food and supplies Facility expenses Administrative expenses Total expenses $ 4,100 2,350 10,100 8,100 $ 24,650 $ 9.60 14.80 6.30 0.40 $31.10 Actual results for December: Revenue Wages and salaries Food and supplies Facility expenses Administrative expenses $ 163,790 $ 48,545 $ 69,305 $ 39,275 $ 9,185 The activity variance for administrative expenses in December would be closest to: Multiple Choice $20 U $775 U $20 F $775 F
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