Clinic House uses client-visits as its measure of activity. During October, the clinic budgeted for 3,000 client-visits, but its actual level of activity was 3,040 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting: Data used in budgeting: Revenue Personnel expenses Medical supplies Occupancy expenses Administrative expenses O $86,165 Fixed element per month $87,314 $36,600 1000 12100 4800 Variable element per client-visit $51.2 $18.10 6.80 1.70 The personnel expenses in the planning budget for October would be closest to: 0.20
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
M2
![Clinic House uses client-visits as its measure of activity. During October, the clinic
budgeted for 3,000 client-visits, but its actual level of activity was 3,040 client-visits.
The clinic has provided the following data concerning the formulas used in its
budgeting:
Data used in budgeting:
Revenue
Personnel expenses
Medical supplies
Occupancy expenses
Administrative expenses
O $86,165
$87,314
$90,900
Fixed element per month
O $91,264
$36,600
1000
12100
4800
Variable element per
client-visit
$51.2
$18.10
The personnel expenses in the planning budget for October would be closest to:
6.80
1.70
0.20](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fbe4d1632-31b6-4892-8e05-e87dfc6ed999%2F2abf56bd-39ac-4318-a982-bda4b8f3add9%2Foeizicdk_processed.png&w=3840&q=75)
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