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Tennies Clinic uses client-visits as its measure of activity. During November, the clinic budgeted for 3,450 client-visits, but its actual level of activity was 3,440
Tennies Clinic uses client-visits as its measure of activity. During November, the clinic budgeted for 3,450 client-visits, but its actual level of activity was 3,440 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 | - | $ | 35.70 | ||
Personnel expenses | $ | 29,800 | $ | 10.70 | |
Medical supplies | 1,350 | 6.10 | |||
Occupancy expenses | 7,900 | 2.20 | |||
Administrative expenses | 6,200 | 0.30 | |||
Total expenses | $ | 45,250 | $ | 19.30 | |
Actual results for November:
Revenue | $ | 122,980 | |
Personnel expenses | $ | 66,581 | |
Medical supplies | $ | 23,133 | |
Occupancy expenses | $ | 14,985 | |
Administrative expenses | $ | 7,016 | |
The spending variance for medical supplies in November would be closest to:
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