Business, 03.07.2020 18:01 CrownedQueen
Dog 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 March, the kennel budgeted for 3,200 tenant-days, but its actual level of activity was 3,250 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for March:
Data used in budgeting:
Fixed element per month Variable element per tenant-day
Revenue - $34.10
Wages and salaries $ 2,100 $ 7.10
Food and supplies 1,100 13.60
Facility expenses 7,600 2.60
Administrative expenses 6,100 0.20
Total expenses $ 16,900 $ 23.50
Actual results for March:
Revenue $ 107,351
Wages and salaries $ 28,510
Food and supplies $ 46,025
Facility expenses $ 15,500
Administrative expenses $ 7,091
The revenue variance for March would be closest to:.
Answers: 1
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Dog Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day i...
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