Speyer Medical Clinic Measures Its Activity in Terms of Patient-Visits

Multiple Choice

Speyer Medical Clinic measures its activity in terms of patient-visits. Last month, the budgeted level of activity was 1,530 patient-visits and the actual level of activity was 1,490 patient-visits. The cost formula for administrative expenses is $4.00 per patient-visit plus $15,300 per month. The actual administrative expense was $19,810. In the clinic's flexible budget performance report for last month, the spending variance for administrative expenses was:

A) $820 F
B) $160 F
C) $1,450 F
D) $1,610 F