Tolentino 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 November, the kennel budgeted for 2,600 tenant-days, but its actual level of activity was 2,620 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for November:

Data used in budgeting:
Actual results for November:
-The expendables in the flexible budget for November would be closest to:
A)$27,548
B)$26,440
C)$26,638
D)$27,129

Question

Tolentino 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 November, the kennel budgeted for 2,600 tenant-days, but its actual level of activity was 2,620 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for November:

Data used in budgeting:

Actual results for November:

-The expendables in the flexible budget for November would be closest to:

Data used in budgeting:
 Actual results for November: 
-The expendables in the flexible budget for November would be closest to:
A)$27,548 
B)$26,440 
C)$26,638 
D)$27,129

Quizplus · Accepted Answer

Cost = Fixed cost per unit + Variable cost per unit F1F1F1S1F1F1F10 q
= $700 + $9.90 F1F1F1S1F1F1F10 2,620 = $26,638

Tolentino Kennel Uses Tenant-Days as Its Measure of Activity; an Animal