Monard Clinic Uses Client-Visits as Its Measure of Activity

question 146

Multiple Choice

Monard Clinic uses client-visits as its measure of activity. During January, the clinic budgeted for 3,700 client-visits, but its actual level of activity was 3,710 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for January:

Data used in budgeting:

Actual results for January:


-The activity variance for administrative expenses in January would be closest to:

• A)$4 F
• B)$206 U
• C)$4 U
• D)$206 F

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Definitions:

Span of Control

The number of subordinates directly managed by a supervisor or the extent of authority an individual manager has over a team.

Span of Control

Refers to the number of direct reports or subordinates that a manager or supervisor can effectively manage.

Organizational Size

The magnitude of an organization, typically measured by the number of employees, revenue size, or operational scale, impacting its structure and processes.

Informal Communication

The exchange of information and messages between individuals in a casual, unstructured manner outside formal communication channels.