Spohn Clinic Uses Client-Visits as Its Measure of Activity

question 186

Multiple Choice

Spohn Clinic uses client-visits as its measure of activity. During February, the clinic budgeted for 3,400 client-visits, but its actual level of activity was 3,370 client-visits. The clinic has provided the following data concerning the formulas to be used in its budgeting for February: The administrative expenses in the planning budget for February would be closest to:

• A) $5,648
• B) $5,418
• C) $5,466
• D) $5,660

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Definitions:

Predetermined Level

A specific, set point or stage that is established in advance and aimed to be reached.

Written Reprimand

An official, documented notice of disapproval or correction regarding an individual's conduct or performance in the workplace.

Nonprogrammed Decisions

Decisions made in response to situations that are unique, are poorly defined and largely unstructured, and have important consequences for the organization.

Nonprogrammed Decisions

Decisions that are unique, require specific solutions, and are not based on established guidelines or procedures.