Bartosiewicz Clinic uses client-visits as its measure of activity. During January, the clinic budgeted for 5,300 client-visits, but its actual level of activity was 5,330 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for January: Data used in budgeting: Revenue Personnel expenses Medical supplies Fixed element per monthVariable element per client-visit $ 37.30 $0 $29,300 1,600 $ 13.30 10,300 6,800 $ 48,000 Occupancy expenses Administrative expenses Total expenses Actual results for January: Revenue Personnel expenses Medical supplies Occupancy expenses Administrative expenses 7.30 1.00 0.40 $22.00 $ 150,300 $ 70,090 $ 20,226 $ 14,100 $ 7,580 The activity variance for net operating income in January would be closest to:

Bartosiewicz Clinic uses client-visits as its measure of activity. During January, the clinic budgeted for 5,300 client-visits, but its actual level of activity was 5,330 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for January: Data used in budgeting: Revenue Personnel expenses Medical supplies Fixed element per monthVariable element per client-visit $ 37.30 $0 $29,300 1,600 $ 13.30 10,300 6,800 $ 48,000 Occupancy expenses Administrative expenses Total expenses Actual results for January: Revenue Personnel expenses Medical supplies Occupancy expenses Administrative expenses 7.30 1.00 0.40 $22.00 $ 150,300 $ 70,090 $ 20,226 $ 14,100 $ 7,580 The activity variance for net operating income in January would be closest to:

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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