Kaina Clinic Uses Client-Visits as Its Measure of Activity

question 320

Multiple Choice

Kaina Clinic uses client-visits as its measure of activity. During May, the clinic budgeted for 3,000 client-visits, but its actual level of activity was 2,970 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for May: Data used in budgeting:
Actual results for May:
The activity variance for net operating income in May would be closest to:

• A) $396 F
• B) $396 U
• C) $486 F
• D) $486 U

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Definitions:

Intended Beneficiary

An individual or entity explicitly chosen to benefit from a contract, even though they are not a direct party to the agreement.

Incidental Beneficiary

A third party who benefits from a contract between two other parties, even though the benefit was not the contract’s primary purpose or intention.

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Judicial institutions authorized to hear and resolve disputes, applying the law to specific cases.

Tests

Procedures or measures used to assess various attributes or performance often in educational, scientific, or medical contexts.