Pearse 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 3, 000 tenant-days, but its actual level of activity was 2, 980 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 overall revenue and spending variance (i.e. , the variance for net operating income in the revenue and spending variance column on the flexible budget performance report)for December would be closest to:
A)$640 F
B)$840 F
C)$640 U
D)$840 U

Question

Pearse 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 3, 000 tenant-days, but its actual level of activity was 2, 980 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 overall revenue and spending variance (i.e. , the variance for net operating income in the revenue and spending variance column on the flexible budget performance report)for December would be closest to:
A)$640 F 
B)$840 F 
C)$640 U 
D)$840 U

Quizplus · Accepted Answer

The Answer of Pearse 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 3, 000 tenant-days, but its actual level of activity was 2, 980 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 overall revenue and spending variance (i.e. , the variance for net operating income in the revenue and spending variance column on the flexible budget performance report)for December would be closest to:
A)$640 F 
B)$840 F 
C)$640 U 
D)$840 U

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