Speyer Medical Clinic measures its activity in terms of patient-visits. Last month, the budgeted level of activity was 1,130 patient-visits and the actual level of activity was 1,120 patient-visits. The cost formula for administrative expenses is $3.70 per patient-visit plus $20,500 per month. The actual administrative expense was $21,400. Last month the clinic's spending variance for administrative expenses was: Multiple Choice

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Speyer Medical Clinic measures its activity in terms of patient-visits. Last month, the budgeted level of activity was 1,130 patient-visits and the actual level of activity was 1,120 patient-visits. The cost formula for
administrative expenses is $3.70 per patient-visit plus $20,500 per month. The actual administrative expense was $21,400. Last month the clinic's spending variance for administrative expenses was:
Multiple Choice
$3,244 F
$1,270 F
$37 F
$3,281 F
Transcribed Image Text:Speyer Medical Clinic measures its activity in terms of patient-visits. Last month, the budgeted level of activity was 1,130 patient-visits and the actual level of activity was 1,120 patient-visits. The cost formula for administrative expenses is $3.70 per patient-visit plus $20,500 per month. The actual administrative expense was $21,400. Last month the clinic's spending variance for administrative expenses was: Multiple Choice $3,244 F $1,270 F $37 F $3,281 F
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