FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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9
0
4
S
6
3
1
2
1
Willow Clinic bases its budgets on patient-visits. The clinic has provided the following data concerning the formulas it uses in its budgetir
Revenues
Personnel expenses
Medical supplies
Occupancy expenses
Administrative expenses
evenues
Fixed
element
$23,900
per month patient-visit
$52.00
$5,150
$4,170
Variable
element
per
Variable
element
per month
$6.60
$2.40
The behaviour of the revenue and expenses is valid for between 2,000 and 4,000 patient-visits per month.
W
1
2 Required:
a) Prepare a flexible budget for 2,000 and 3,000 patient-visits in a month.
Patient -visits
H
2,000
3,000
You may not need to use all the cells.
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Transcribed Image Text:9 0 4 S 6 3 1 2 1 Willow Clinic bases its budgets on patient-visits. The clinic has provided the following data concerning the formulas it uses in its budgetir Revenues Personnel expenses Medical supplies Occupancy expenses Administrative expenses evenues Fixed element $23,900 per month patient-visit $52.00 $5,150 $4,170 Variable element per Variable element per month $6.60 $2.40 The behaviour of the revenue and expenses is valid for between 2,000 and 4,000 patient-visits per month. W 1 2 Required: a) Prepare a flexible budget for 2,000 and 3,000 patient-visits in a month. Patient -visits H 2,000 3,000 You may not need to use all the cells.
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