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

Multiple Choice

Wales 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 February, the kennel budgeted for 2, 700 tenant-days, but its actual level of activity was 2, 730 tenant-days.The kennel has provided the following data concerning the formulas to be used in its budgeting: The net operating income in the planning budget for February would be closest to:

A) $9, 100
B) $12, 123
C) $8, 800
D) $11, 858