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Tennies Clinic uses client-visits as its measure of activity. During November, the clinic budgeted for 3,600 client-visits, but its actual level of activity was 3,590
Tennies Clinic uses client-visits as its measure of activity. During November, the clinic budgeted for 3,600 client-visits, but its actual level of activity was 3,590 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 | $ 36.00 |
Personnel expenses | $ 30,100 | $ 11.00 |
Medical supplies | 1,500 | 6.40 |
Occupancy expenses | 8,200 | 2.50 |
Administrative expenses | 6,500 | 0.20 |
Total expenses | $ 46,300 | $ 20.10 |
Actual results for November:
Revenue | $ 129,420 |
---|---|
Personnel expenses | $ 69,560 |
Medical supplies | $ 25,284 |
Occupancy expenses | $ 16,689 |
Administrative expenses | $ 6,995 |
The spending variance for medical supplies in November would be closest to:
rev: 06_30_2020_QC_CS-208650
Multiple Choice
$744 U
$808 F
$744 F
$808 U
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