Chirico Clinic Uses Client-Visits as Its Measure of Activity

Multiple Choice

Chirico Clinic uses client-visits as its measure of activity. During February, the clinic budgeted for 2,500 client-visits, but its actual level of activity was 2,550 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for February:

Actual results for February:

-The net operating income in the flexible budget for February would be closest to:

A) $16,900
B) $23,450
C) $18,140
D) $22,539