Rhed 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 December, the kennel budgeted for 4,050 tenant-days, but its actual level of activity was 4,000 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for December: Data used in budgeting:
Actual results for December:
The activity variance for administrative expenses in December would be closest to:
A) $15 U
B) $250 U
C) $15 F
D) $250 F

Question

Rhed 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 December, the kennel budgeted for 4,050 tenant-days, but its actual level of activity was 4,000 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for December: Data used in budgeting:
 Actual results for December:
 The activity variance for administrative expenses in December would be closest to:
A) $15 U 
B) $250 U 
C) $15 F 
D) $250 F

Quizplus · Accepted Answer

The Answer of Rhed 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 December, the kennel budgeted for 4,050 tenant-days, but its actual level of activity was 4,000 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for December: Data used in budgeting:
 Actual results for December:
 The activity variance for administrative expenses in December would be closest to:
A) $15 U 
B) $250 U 
C) $15 F 
D) $250 F

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