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

Multiple Choice

Neighbors 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 April, the kennel budgeted for 3,000 tenant-days, but its actual level of activity was 2,960 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for April:Data used in budgeting: Actual results for April:
The activity variance for net operating income in April would be closest to:

A) $126 F
B) $126 U
C) $364 F
D) $364 U