Hepburn Clinic uses client-visits as its measure of activity.During July,the clinic budgeted for 3,200 client-visits,but its actual level of activity was 3,180 client-visits.The clinic has provided the following data concerning the formulas to be used in its budgeting for July: The personnel expenses in the planning budget for July would be closest to:

Question

Hepburn Clinic uses client-visits as its measure of activity.During July,the clinic budgeted for 3,200 client-visits,but its actual level of activity was 3,180 client-visits.The clinic has provided the following data concerning the formulas to be used in its budgeting for July:  The personnel expenses in the planning budget for July would be closest to:

Quizplus · Accepted Answer

Cost = Fixed cost + (Variable cost per unit × q)
= $37,300 + ($13.30 × 3,200)= $79,860

Hepburn Clinic Uses Client-Visits as Its Measure of Activity