Miao Clinic Uses Client-Visits as Its Measure of Activity

question 296

Multiple Choice

Miao Clinic uses client-visits as its measure of activity. During July, the clinic budgeted for 3,000 client-visits, but its actual level of activity was 2,980 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for July:

Data used in budgeting:

Actual results for July:

-The spending variance for medical supplies in July would be closest to:

• A)$936 F
• B)$936 U
• C)$1,100 U
• D)$1,100 F

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Definitions:

Exporting Nation

A country that sells goods and services to other countries, resulting in a net inflow of funds from international trade.

Product Price

The amount of money required to purchase a particular good or service.

World Trade Organization

An intergovernmental organization that regulates international trade with the aim of ensuring that trade flows as smoothly, predictably, and freely as possible.

Trade Barriers

Measures such as tariffs, quotas, and regulations that governments use to control the amount and type of goods and services imported or exported.