IDNLearn.com offers a unique blend of expert answers and community insights. Our experts are available to provide accurate, comprehensive answers to help you make informed decisions about any topic or issue you encounter.

Bracken Clinic uses client-visits as its measure of activity. During September, the clinic budgeted for 2,100 client-visits, but its actual level of activity was 2,140 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for September: Data used in budgeting: Fixed element per month Variable element per client-visit Revenue $ 44.50 Personnel expenses $ 26,100 $ 12.60 Medical supplies 600 7.20 Occupancy expenses 6,500 2.40 Administrative expenses 3,100 0.10 Total expenses $ 36,300 $ 22.30 Actual results for September: Revenue $ 93,240 Personnel expenses $ 50,754 Medical supplies $ 15,328 Occupancy expenses $ 11,646 Administrative expenses $ 3,394 The revenue variance for September would be closest to:

Sagot :

Answer:

the revenue variance is $1,990 unfavorable

Explanation:

The computation of the revenue variance is shown below:

Revenue variance

= Flexible revenue - actual revenue

= (2140 × $44.50)  - $93,240

= $1,990 Unfavorable

hence, the revenue variance is $1,990 unfavorable