Glassing Clinic uses client-visits as its measure of activity. During September, the clinic budgeted for...

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Accounting

Glassing Clinic uses client-visits as its measure of activity. During September, the clinic budgeted for 4,160 client-visits, but its actual level of activity was 4,120 client-visits. The clinic has provided the following data concerning the formulas to be used in its budgeting:

Fixed element per month Variable element per client-visit
Revenue $ 22.10
Personnel expenses $ 21,850 $ 5.70
Medical supplies 1,865 4.50
Occupancy expenses 4,210 2.10
Administrative expenses 3,035 1.10
Total expenses $ 30,960 $ 13.40

The activity variance for net operating income in September would be closest to:

a. $348 U

b. $3,508 U

c. $3,508 F

d. $348 F

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