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

Multiple Choice

Sorrow 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 November, the kennel budgeted for 2,300 tenant-days, but its actual level of activity was 2,350 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for November:

Data used in budgeting:

Actual results for November:


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

A) $1,520 U
B) $590 F
C) $1,520 F
D) $590 U