ure Clinic uses patient-visits as its measure of activity. The clinic bases its budgets on the following information: Reve $60.90 per patient-visit. Personnel expenses should be $36,200 per month plus $16.30 per patient-visit. Medical sup $2,500 per month plus $11.70 per patient-visit. Occupancy expenses should be $8,900 per month plus $4.50 per pati ministrative expenses should be $4,400 per month plus $2.60 per patient-visit. e clinic reported the following actual results for November:
ure Clinic uses patient-visits as its measure of activity. The clinic bases its budgets on the following information: Reve $60.90 per patient-visit. Personnel expenses should be $36,200 per month plus $16.30 per patient-visit. Medical sup $2,500 per month plus $11.70 per patient-visit. Occupancy expenses should be $8,900 per month plus $4.50 per pati ministrative expenses should be $4,400 per month plus $2.60 per patient-visit. e clinic reported the following actual results for November:
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Vipul k
![Laizure Clinic uses patient-visits as its measure of activity. The clinic bases its budgets on the following information: Revenue should
be $60.90 per patient-visit. Personnel expenses should be $36,200 per month plus $16.30 per patient-visit. Medical supplies should
be $2,500 per month plus $11.70 per patient-visit. Occupancy expenses should be $8,900 per month plus $4.50 per patient-visit.
Administrative expenses should be $4,400 per month plus $2.60 per patient-visit.
The clinic reported the following actual results for November:
Patient-visits
Revenue
Personnel expenses
Medical supplies
Occupancy expenses
Administrative expenses
Required:
Prepare a report showing the clinic's revenue and spending variances for November. Label each variance as favorable (F) or
unfavorable (U). (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect
(i.e., zero variance). Input all amounts as positive values.)
Patient-visits
Revenue
Expenses:
Personnel expenses
Medical supplies
Occupancy expenses
Administrative expenses
Total expense
Net operating income
2,850
$ 189,240
$ 87,320
$ 38,640
$ 17,750
$ 8,150
Laizure Clinic
Revenue and Spending Variances
For the Month Ended November 30
Actual Results Flexible Budget
2,850
2,850
Revenue and Spending
Variances](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F4bc095e3-926a-48ec-be86-9359d4e19b6f%2F1bbc7263-269b-47b2-aa14-565bb39d8f66%2Fd7hqq1o_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Laizure Clinic uses patient-visits as its measure of activity. The clinic bases its budgets on the following information: Revenue should
be $60.90 per patient-visit. Personnel expenses should be $36,200 per month plus $16.30 per patient-visit. Medical supplies should
be $2,500 per month plus $11.70 per patient-visit. Occupancy expenses should be $8,900 per month plus $4.50 per patient-visit.
Administrative expenses should be $4,400 per month plus $2.60 per patient-visit.
The clinic reported the following actual results for November:
Patient-visits
Revenue
Personnel expenses
Medical supplies
Occupancy expenses
Administrative expenses
Required:
Prepare a report showing the clinic's revenue and spending variances for November. Label each variance as favorable (F) or
unfavorable (U). (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect
(i.e., zero variance). Input all amounts as positive values.)
Patient-visits
Revenue
Expenses:
Personnel expenses
Medical supplies
Occupancy expenses
Administrative expenses
Total expense
Net operating income
2,850
$ 189,240
$ 87,320
$ 38,640
$ 17,750
$ 8,150
Laizure Clinic
Revenue and Spending Variances
For the Month Ended November 30
Actual Results Flexible Budget
2,850
2,850
Revenue and Spending
Variances
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![Horngren's Cost Accounting: A Managerial Emphasis…](https://www.bartleby.com/isbn_cover_images/9780134475585/9780134475585_smallCoverImage.gif)
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
![Intermediate Accounting](https://www.bartleby.com/isbn_cover_images/9781259722660/9781259722660_smallCoverImage.gif)
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
![Financial and Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781259726705/9781259726705_smallCoverImage.gif)
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education