Ordway Kennel Uses Tenant-Days as Its Measure of Activity; an Animal

question 259

Multiple Choice

Ordway 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 June, the kennel budgeted for 2,100 tenant-days, but its actual level of activity was 2,070 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for June: Data used in budgeting: Actual results for June: The net operating income in the flexible budget for June would be closest to:

• A)$8,713
• B)$9,159
• C)$8,466
• D)$9,570

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Definitions:

Centerbore

A large hole in the center of a wheel where it mounts to a hub on the vehicle.

Mounting Surface

The area or interface on which a component, device, or mechanism is installed or secured.

Wheel Depth

Measurement of the distance from the outer wheel surface to the mounting plate, important for fitting wheels to a vehicle correctly.

Radial Tires

Tires designed with the cords at a 90-degree angle to the travel direction, offering improved handling, wear, and fuel efficiency compared to bias-ply tires.