Ibsen Clinic Uses Client-Visits as Its Measure of Activity

question 31

Multiple Choice

Ibsen Clinic uses client-visits as its measure of activity. During December, the clinic budgeted for 3,300 client-visits, but its actual level of activity was 3,340 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for December:
Data used in budgeting:
Actual results for December:

-The net operating income in the flexible budget for December would be closest to:

• A) $13,990
• B) $14,762
• C) $11,898
• D) $12,188

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Definitions:

Martyr

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American Revolution

The conflict between the thirteen American colonies and British rule that led to the colonies declaring independence and forming the United States of America (1775-1783).

Regulators

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Secure Possession

The legal state or condition of having a firm ownership or control over property or goods, safeguarded against loss, damage, or theft.