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

question 121

Multiple Choice

Tolentino 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 November, the kennel budgeted for 2,600 tenant-days, but its actual level of activity was 2,620 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for November:

Data used in budgeting:
Actual results for November:
-The facility expenses in the flexible budget for November would be closest to:

• A)$21,052
• B)$20,922
• C)$20,604
• D)$20,960

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Definitions:

Interaction Effects

Refers to the phenomenon where the effect of one variable on a particular outcome is different depending on the level of another variable.

Relationship

The method by which several concepts, items, or people interact, or the situation of being interconnected.

Main Effect

In the context of experimental design, it refers to the primary impact of an independent variable on a dependent variable, ignoring other variables.

Interaction Effect

Occurs when the effect of one independent variable on the dependent variable changes based on the level of another independent variable.