Higgenbotham Clinic Uses Client-Visits as Its Measure of Activity

question 16

Multiple Choice

Higgenbotham Clinic uses client-visits as its measure of activity. During May, the clinic budgeted for 3,600 client-visits, but its actual level of activity was 3,580 client-visits. The clinic has provided the following data concerning the formulas to be used in its budgeting for May:
-The net operating income in the planning budget for May would be closest to:

• A) $18,274
• B) $13,920
• C) $18,479
• D) $13,616