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Tennies Clinic uses client-visits as its measure of activity. During November, the clinic budgeted for 3,300 client-visits, but its actual level of activity was 3,290

Tennies Clinic uses client-visits as its measure of activity. During November, the clinic budgeted for 3,300 client-visits, but its actual level of activity was 3,290 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for November:

Data used in budgeting:

Fixed element per month Variable element per client-visit
Revenue $ 0 $ 35.40
Personnel expenses $ 29,500 $ 10.40
Medical supplies 1,200 5.80
Occupancy expenses 7,600 1.90
Administrative expenses 5,900 0.30
Total expenses $ 44,200 $ 18.40

Actual results for November:

Revenue $ 116,656
Personnel expenses $ 63,686
Medical supplies $ 21,072
Occupancy expenses $ 13,371
Administrative expenses $ 6,677

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

Multiple Choice

$104 F

$104 U

$134 F

$134 U

Lenci Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During May, the company budgeted for 5,100 units, but its actual level of activity was 5,050 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for May:

Data used in budgeting:

Fixed element per month Variable element per unit
Revenue 0 $ 39.60
Direct labor $ 0 $ 5.50
Direct materials 0 15.70
Manufacturing overhead 41,500 1.30
Selling and administrative expenses 22,700 0.20
Total expenses $ 64,200 $ 22.70

Actual results for May:

Revenue $ 197,810
Direct labor $ 28,565
Direct materials $ 80,265
Manufacturing overhead $ 47,905
Selling and administrative expenses $ 22,680

The spending variance for manufacturing overhead in May would be closest to:

Multiple Choice

$160 U

$225 U

$225 F

$160 F

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