Kirnon Clinic Uses Client-Visits as Its Measure of Activity

question 119

Multiple Choice

Kirnon Clinic uses client-visits as its measure of activity. During July, the clinic budgeted for 3,550 client-visits, but its actual level of activity was 3,490 client-visits. The clinic has provided the following data concerning the formulas to be used in its budgeting: The activity variance for net operating income in July would be closest to:

• A) $366 F
• B) $1,116 F
• C) $366 U
• D) $1,116 U