Accounting Chapter 8 14 Kari Kennel Uses Tenant days Its Measure Activity

8-701

198.

Perla Kennel uses tenant-days as its measure of activity; an animal housed in the kennel

for one day is counted as one tenant-day. During March, the kennel budgeted for 2,200

tenant-days, but its actual level of activity was 2,160 tenant-days. The kennel has

provided the following data concerning the formulas used in its budgeting and its actual

results for March:

Data used in budgeting:

Fixed

element

per

month

Variable

element

per

tenant-

day

Revenue

−

$32.60

Wages and

salaries

$2,800

$7.30

Food and

supplies

900

8.20

Facility expenses

9,000

4.80

Administrative

expenses

6,200

0.20

Total expenses

$18,900

$20.50

Actual results for March:

Revenue

$69,996

Wages and salaries

$18,408

Food and supplies

$19,092

Facility expenses

$18,498

Administrative expenses

$6,652

The revenue variance for March would be closest to:

8-703

199.

Perla Kennel uses tenant-days as its measure of activity; an animal housed in the kennel

for one day is counted as one tenant-day. During March, the kennel budgeted for 2,200

tenant-days, but its actual level of activity was 2,160 tenant-days. The kennel has

provided the following data concerning the formulas used in its budgeting and its actual

results for March:

Data used in budgeting:

Fixed

element

per

month

Variable

element

per

tenant-

day

Revenue

−

$32.60

Wages and

salaries

$2,800

$7.30

Food and

supplies

900

8.20

Facility expenses

9,000

4.80

Administrative

expenses

6,200

0.20

Total expenses

$18,900

$20.50

Actual results for March:

Revenue

$69,996

Wages and salaries

$18,408

Food and supplies

$19,092

Facility expenses

$18,498

Administrative expenses

$6,652

The spending variance for food and supplies in March would be closest to:

8-705

200.

Miao Clinic uses client-visits as its measure of activity. During July, the clinic budgeted for

3,000 client-visits, but its actual level of activity was 2,980 client-visits. The clinic has

provided the following data concerning the formulas used in its budgeting and its actual

results for July:

Data used in budgeting:

Fixed

element

per

month

Variable

element

per

client-

visit

Revenue

−

$39.80

Personnel

expenses

$26,500

$12.30

Medical supplies

1,400

8.20

Occupancy

expenses

8,200

1.00

Administrative

expenses

5,300

0.40

Total expenses

$41,400

$21.90

Actual results for July:

Revenue

$114,494

Personnel expenses

$60,564

Medical supplies

$26,936

Occupancy expenses

$10,980

Administrative expenses

$6,192

The administrative expenses in the planning budget for July would be closest to:

8-707

201.

Miao Clinic uses client-visits as its measure of activity. During July, the clinic budgeted for

3,000 client-visits, but its actual level of activity was 2,980 client-visits. The clinic has

provided the following data concerning the formulas used in its budgeting and its actual

results for July:

Data used in budgeting:

Fixed

element

per

month

Variable

element

per

client-

visit

Revenue

−

$39.80

Personnel

expenses

$26,500

$12.30

Medical supplies

1,400

8.20

Occupancy

expenses

8,200

1.00

Administrative

expenses

5,300

0.40

Total expenses

$41,400

$21.90

Actual results for July:

Revenue

$114,494

Personnel expenses

$60,564

Medical supplies

$26,936

Occupancy expenses

$10,980

Administrative expenses

$6,192

The occupancy expenses in the flexible budget for July would be closest to:

8-708

8-709

202.

Miao Clinic uses client-visits as its measure of activity. During July, the clinic budgeted for

3,000 client-visits, but its actual level of activity was 2,980 client-visits. The clinic has

provided the following data concerning the formulas used in its budgeting and its actual

results for July:

Data used in budgeting:

Fixed

element

per

month

Variable

element

per

client-

visit

Revenue

−

$39.80

Personnel

expenses

$26,500

$12.30

Medical supplies

1,400

8.20

Occupancy

expenses

8,200

1.00

Administrative

expenses

5,300

0.40

Total expenses

$41,400

$21.90

Actual results for July:

Revenue

$114,494

Personnel expenses

$60,564

Medical supplies

$26,936

Occupancy expenses

$10,980

Administrative expenses

$6,192

The spending variance for medical supplies in July would be closest to:

8-711

203.

Kari Kennel uses tenant-days as its measure of activity; an animal housed in the kennel

for one day is counted as one tenant-day. During May, the kennel budgeted for 3,200

tenant-days, but its actual level of activity was 3,230 tenant-days. The kennel has

provided the following data concerning the formulas used in its budgeting and its actual

results for May:

Data used in budgeting:

Fixed

element

per

month

Variable

element

per

tenant-

day

Revenue

−

$26.30

Wages and

salaries

$3,000

$5.80

Food and

supplies

700

8.10

Facility expenses

8,500

3.50

Administrative

expenses

7,000

0.30

Total expenses

$19,200

$17.70

Actual results for May:

Revenue

$84,909

Wages and salaries

$21,744

Food and supplies

$26,323

Facility expenses

$20,585

Administrative expenses

$7,879

8-712

The administrative expenses in the planning budget for May would be closest to:

8-713

204.

Kari Kennel uses tenant-days as its measure of activity; an animal housed in the kennel

for one day is counted as one tenant-day. During May, the kennel budgeted for 3,200

tenant-days, but its actual level of activity was 3,230 tenant-days. The kennel has

provided the following data concerning the formulas used in its budgeting and its actual

results for May:

Data used in budgeting:

Fixed

element

per

month

Variable

element

per

tenant-

day

Revenue

−

$26.30

Wages and

salaries

$3,000

$5.80

Food and

supplies

700

8.10

Facility expenses

8,500

3.50

Administrative

expenses

7,000

0.30

Total expenses

$19,200

$17.70

Actual results for May:

Revenue

$84,909

Wages and salaries

$21,744

Food and supplies

$26,323

Facility expenses

$20,585

Administrative expenses

$7,879

The facility expenses in the flexible budget for May would be closest to:

8-714

8-715

205.

Kari Kennel uses tenant-days as its measure of activity; an animal housed in the kennel

for one day is counted as one tenant-day. During May, the kennel budgeted for 3,200

tenant-days, but its actual level of activity was 3,230 tenant-days. The kennel has

provided the following data concerning the formulas used in its budgeting and its actual

results for May:

Data used in budgeting:

Fixed

element

per

month

Variable

element

per

tenant-

day

Revenue

−

$26.30

Wages and

salaries

$3,000

$5.80

Food and

supplies

700

8.10

Facility expenses

8,500

3.50

Administrative

expenses

7,000

0.30

Total expenses

$19,200

$17.70

Actual results for May:

Revenue

$84,909

Wages and salaries

$21,744

Food and supplies

$26,323

Facility expenses

$20,585

Administrative expenses

$7,879

The spending variance for food and supplies in May would be closest to:

8-717

206.

Wesolick Clinic uses client-visits as its measure of activity. During August, the clinic

budgeted for 2,900 client-visits, but its actual level of activity was 2,870 client-visits. The

clinic has provided the following data concerning the formulas used in its budgeting and

its actual results for August:

Data used in budgeting:

Fixed

element

per

month

Variable

element

per client-

visit

Revenue

−

$40.50

Personnel

expenses

$30,900

$12.80

Medical

supplies

1,400

5.60

Occupancy

expenses

7,500

2.00

Administrative

expenses

6,300

0.20

Total expenses

$46,100

$20.60

Actual results for August:

Revenue

$120,375

Personnel expenses

$65,916

Medical supplies

$16,872

Occupancy expenses

$13,200

Administrative expenses

$6,974

The administrative expenses in the planning budget for August would be closest to:

8-718

8-719

207.

Wesolick Clinic uses client-visits as its measure of activity. During August, the clinic

budgeted for 2,900 client-visits, but its actual level of activity was 2,870 client-visits. The

clinic has provided the following data concerning the formulas used in its budgeting and

its actual results for August:

Data used in budgeting:

Fixed

element

per

month

Variable

element

per client-

visit

Revenue

−

$40.50

Personnel

expenses

$30,900

$12.80

Medical

supplies

1,400

5.60

Occupancy

expenses

7,500

2.00

Administrative

expenses

6,300

0.20

Total expenses

$46,100

$20.60

Actual results for August:

Revenue

$120,375

Personnel expenses

$65,916

Medical supplies

$16,872

Occupancy expenses

$13,200

Administrative expenses

$6,974

The medical supplies in the flexible budget for August would be closest to:

8-720