Business, 16.04.2020 02:06 KRLoopy4722
Rhed 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 December, the kennel budgeted for 4,500 tenant-days, but its actual level of activity was 4,450 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for December: Data used in budgeting: Fixed element per month Variable element per tenant-day Revenue - $ 35.50 Wages and salaries $ 3,800 $ 9.30 Food and supplies 2,200 14.50 Facility expenses 9,800 6.00 Administrative expenses 7,800 0.60 Total expenses $ 23,600 $ 30.40 Actual results for December: Revenue $ 157,150 Wages and salaries $ 45,470 Food and supplies $ 65,615 Facility expenses $ 36,680 Administrative expenses $ 9,300 The activity variance for administrative expenses in December would be closest to:
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Rhed Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day...
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