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Business, 23.03.2021 05:30 raylynnreece5052
Paulis 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 February, the kennel budgeted for 4,200 tenant-days, but its actual level of activity was 4,180 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for February: Data used in budgeting: Fixed element per month Variable element per tenant-day Revenue $ 0 $ 30.70 Wages and salaries $ 3,200 $ 6.70 Food and supplies 600 11.50 Facility expenses 8,200 3.70 Administrative expenses 8,000 0.10 Total expenses $ 20,000 $ 22.00 Actual results for February: Revenue $ 107,980 Wages and salaries $ 23,520 Food and supplies $ 36,792 Facility expenses $ 19,270 Administrative expenses $ 9,144 The overall revenue and spending variance (i. e., the variance for net operating income in the revenue and spending variance column on the flexible budget performance report) for February would be closest to:
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Paulis Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one da...
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