A nurse manager plans the fiscal budget to include salaries for two RNs for two 12-hour shifts with a patient census of 6 in the short-stay observation room.The nurse manager reviews the budget report 3 months later and notes that the salary expenses are higher than was budgeted because of higher-than-planned RN staff salaries.This additional RN staff is necessary to meet patient care needs because the census has remained constant at 10 patients rather than the 6 projected when the budget was developed.The difference between the planned budget and the actual cost is referred to by what term?

Question

Quizplus · Accepted Answer

The difference between the planned budget and the actual cost is referred to as "variance." This term is used to describe the discrepancy between what was budgeted and what was actually spent or received.

A Nurse Manager Plans the Fiscal Budget to Include Salaries