Using the Cost Variance Report above, match the following variances with the correct explanation below.

Group of answer choices

Volume

[ Choose 1 ] Variance focusing on quantifying the amount of variance due to paying more per hour than budgeted

Variance strictly due to a change in the number of home health visits

Variance focusing on quantifying the amount of variance due to the fact that the actual service needs of the patients were higher than budgeted

Variance focusing on quantifying the amount of variance due to the fact that the actual hours of service were more than required for this population

Acuity

[ Choose 1 ] Variance focusing on quantifying the amount of variance due to paying more per hour than budgeted

Variance strictly due to a change in the number of home health visits

Variance focusing on quantifying the amount of variance due to the fact that the actual service needs of the patients were higher than budgeted

Variance focusing on quantifying the amount of variance due to the fact that the actual hours of service were more than required for this population

Efficiency

[ Choose 1 ] Variance focusing on quantifying the amount of variance due to paying more per hour than budgeted

Variance strictly due to a change in the number of home health visits

Variance focusing on quantifying the amount of variance due to the fact that the actual service needs of the patients were higher than budgeted

Variance focusing on quantifying the amount of variance due to the fact that the actual hours of service were more than required for this population

Rate

[ Choose 1] Variance focusing on quantifying the amount of variance due to paying more per hour than budgeted

Variance strictly due to a change in the number of home health visits

Variance focusing on quantifying the amount of variance due to the fact that the actual service needs of the patients were higher than budgeted

Variance focusing on quantifying the amount of variance due to the fact that the actual hours of service were more than required for this population

Mr. Matthews, VP of Outreach Services at a rural home health agency, has received the variance report below regarding the agency's operations. Mr. Matthews does not understand what these variances mean and asked the CFO for the help of her star analyst (you, of course!). Assume all calculations below are correct. Budgeted Flexible Flexible @ Std Flexible @ Actual Acuity Actual Acuity Home Health Visits 350 300 300 300 300 $25 $25 $25 $30 Home Health Cost Per Hour (including |$25 extensive travel) Average Hours 19 / Visit 19 10 12 12 $78,750 $67,500 $75,000 $90,000 $108,000