FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Transcribed Image Text:Dinham 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 5,200 tenant-days, but its actual level of activity was 5,230 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:
Revenue
Wages and salaries.
Food and supplies
Facility expenses
Administrative expenses
Total expenses
Actual results for March:
Fixed Variable
element element per
per month tenant-day
$35.70
0
$9.10
$ 2,400
1,600
8,000
6,500
$ 18,500
Revenue
$ 171,323
Wages and salaries.
Food and supplies
$ 28,710
$ 82,980
$32,258
$ 7,111
Facility expenses
Administrative expenses
The flexible budget variance for March would be closest to:
15.60
4.60
0.40
$29.70
Transcribed Image Text:Multiple Choice
$15,388 F
$15,388 U
$14,317 U
$14,317 F
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