Lantagne Clinic Uses Client-Visits as Its Measure of Activity

question 283

Multiple Choice

Lantagne Clinic uses client-visits as its measure of activity. During May, the clinic budgeted for 3,800 client-visits, but its actual level of activity was 3,820 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 overall revenue and spending variance (i.e., the variance for net operating income in the revenue and spending variance column on the revenue and spending variances report) for May would be closest to:

• A)$284 U
• B)$670 F
• C)$670 U
• D)$284 F

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Definitions:

Group Life Insurance

A life insurance policy under which a group of people, typically employees of a company, are insured under a single contract at reduced rates.

Flexible Benefits Plans

Employee benefit programs that allow individuals to choose from a range of benefit options to tailor their coverage to their specific needs and preferences.

Family-Friendly Benefits

Family-Friendly Benefits are employer-provided benefits designed to support employees in balancing their work responsibilities with family life, such as flexible scheduling and parental leave.

Defined-Benefit Plans

A retirement plan where the employer guarantees a specified pension payment upon retirement, based on the employee's earnings history, tenure of service, and age.