Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Spohn Clinic uses client-visits as its measure of activity. During February, the clinic budgeted for 3,400 client-visits, but its actual level of activity was 3,370
Spohn Clinic uses client-visits as its measure of activity. During February, the clinic budgeted for 3,400 client-visits, but its actual level of activity was 3,370 client-visits. The clinic has provided the following data concerning the formulas to be used in its budgeting for February:
Fixed Element per Month | Variable element per client-visit | ||||
Revenue | - | $ | 28.10 | ||
Personnel expenses | $ | 26,100 | $ | 7.70 | |
Medical supplies | 900 | 5.10 | |||
Occupancy expenses | 5,600 | 0.80 | |||
Administrative expenses | 4,300 | 0.40 | |||
Total expenses | $ | 36,900 | $ | 14.00 | |
The administrative expenses in the planning budget for February would be closest to:
$5,648
$5,466
$5,660
$5,418
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started