Maurice Tutor

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    Argosy University/ Phoniex University/
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    Oct-2001 - Nov-2016

Category > Accounting Posted 18 Aug 2017 My Price 9.00

Galante Kennel

Galante 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 May, Kennel budgeted for 4,200 tenant-days, but its actual level of activity was 4,180 tenant-days. Kennel has provided the following data concerning the formulas used in its budgeting and its actual results for May:


Data used in budgeting:

  Fixed element
per month		 Variable element per tenant-day
  Revenue Ac€?? $30.70     
     
  Wages and salaries $3,200 $6.70     
  Expendables 600 11.50     
  Facility expenses 8,200 3.70     
  Administrative expenses   8,000 0.10     
  Total expenses

$20,000

$22.00     


Actual results for May:

  Revenue $107,980   
   
  Wages and salaries $23,520   
  Expendables $36,792   
  Facility expenses $19,270   
  Administrative expenses $9,144   


The net operating income in the planning budget for May would be closest to:

  $19,160
  $16,366
  $19,254
  $16,540

 

Answers

Maurice Tutor
(5)
Status NEW Posted 18 Aug 2017 04:08 PM My Price 9.00

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