Matter-of-Fact Medicine uses client-visits as its measure of activity. During September, the business budgeted for 2,100 client-visits, but its actual level of activity was 2,140 client-visits. The business has provided the following data concerning the formulas used in its budgeting and its actual results for September: Fixed element per month Variable element per client-visit Revenue $44.50 Personnel expenses $26,100 $12.60 Medical supplies 600 7.2 Occupancy expenses 6,500 2.4 Administrative expenses 3,100 0.1 Total expenses $36,300 $22.30 Actual results for September: Revenue $93,240 Personnel expenses $50,754 Medical supplies $15,238 Occupancy expenses $11,646 Administrative expenses $3,394 The spending variance for medical supplies in September would be closest to: (F: favorable, U: unfavorable)

Insurance companies have internal controls in place to protect assets, monitor the accuracy of accounting records and encourage operational efficiencies and adherence to policies. these internal controls are generally of two types: administrative controls and accounting controls. administrative controls are the policies and procedures that guide the daily actions of employees. accounting controls are the policies and procedures that delineate authorizations of financial transactions that are done, safeguard assets, and provide reports on the company’s financial status in a reliable and timely manner. internal controls should include both preventative and detective controls. the purpose of preventative controls is to stop problems and errors before they occur. detective controls identify problems after they have occurred. preventative controls are usually more effective at reducing problems, but they also tend to be more expensive. internal controls must be flexible to adjust for changes in laws and regulations in addition to adding new products or modifying current ones. companies must also do regular analyses to ensure that the benefits of implementing the controls are worth their costs. when concerned about paying unwarranted insurance claims which type of control would be useful?

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20. to add body to a hearty broth, you may use a. onions. b. pasta. c. cheese. d. water.