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

question 55

Multiple Choice

Arkin 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 May, the kennel budgeted for 3,100 tenant-days, but its actual level of activity was 3,070 tenant-days. The kennel 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 administrative expenses in the planning budget for May would be closest to:

• A)$7,228
• B)$7,016
• C)$6,948
• D)$7,240

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Definitions:

Six-Months' Notice

A requirement to alert or inform someone or a party about something six months in advance.

Workers' Compensation

A form of insurance providing wage replacement and medical benefits to employees injured in the course of employment, in exchange for mandatory relinquishment of the employee's right to sue their employer.

Course of Employment

Pertains to the activities an employee does within the scope of their job or duties as authorized or expected by their employer.

Family and Medical Leave Act

A United States federal law that provides employees with unpaid, job-protected leave for certain family and medical reasons.