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Jauron 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 September, the kennel budgeted for 2,300 tenant-days, but its actual level of activity was 2,310 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for September:
-The net operating income in the planning budget for September would be closest to:
Net Working Capital
The difference between a company's current assets and current liabilities, indicating short-term financial health.
Accounts Receivable
Money owed to a business by its customers for goods or services delivered but not yet paid for.
Accounts Payable
Liabilities of a business that represent amounts owed to creditors for goods and services received but not yet paid for.
Sunk Costs
Expenses that have already been incurred and cannot be recovered, which should not affect future business decisions.
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