Lantagne Clinic uses client-visits as its measure of activity. During May, the clinic budgeted for 3,800 client-visits, but its actual level of activity was 3,820 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for May: Data used in budgeting: Actual results for May: The net operating income in the flexible budget for May would be closest to:
A)$16,668
B)$17,426
C)$16,844
D)$17,040

Question

Lantagne Clinic uses client-visits as its measure of activity. During May, the clinic budgeted for 3,800 client-visits, but its actual level of activity was 3,820 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for May: Data used in budgeting:  Actual results for May:  The net operating income in the flexible budget for May would be closest to:
A)$16,668 
B)$17,426 
C)$16,844 
D)$17,040

Quizplus · Accepted Answer

The Answer of Lantagne Clinic uses client-visits as its measure of activity. During May, the clinic budgeted for 3,800 client-visits, but its actual level of activity was 3,820 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for May: Data used in budgeting:  Actual results for May:  The net operating income in the flexible budget for May would be closest to:
A)$16,668 
B)$17,426 
C)$16,844 
D)$17,040

Lantagne Clinic Uses Client-Visits as Its Measure of Activity