Dinham Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-d
ay. During March, the kennel budgeted for 4,600 tenant-days, but its actual level of activity was 4,670 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for March: Data used in budgeting: Fixed element per month Variable element per tenant-day Revenue - $35.10 Wages and salaries$3,500 $8.50 Food and supplies 1,000 15.00 Facility expenses 9,000 4.00 Administrative expenses 7,500 0.40 Total expenses$21,000 $27.90 Actual results for March: Revenue$143,330 Wages and salaries$28,650 Food and supplies$71,345 Facility expenses$27,130 Administrative expenses$7,105 The overall revenue and spending variance (i.e., the variance for net operating income in the revenue and spending variance column on the flexible budget performance report) for March would be closest to: Multiple Choice $3,020 F $3,524 F $3,020 U $3,524 U Next Visit question mapQuestion 9 of 10 Total9 of 10 Prev
To calculate the real interest rate that Taylor paid, I would take the $1200 and see what 2% of that is for the year and it comes to $24. So take the $1260 he paid - $24=$1236 and 36/1200= 0.03 or 3%. So I believe that this 3% is the real rate that Taylor paid for interest on the $1200.