Answer the following by using the Excel sheet below:

1. When comparing the projected performance with the actual financial performance, are the owners happy with the clinics financial performance?
2. Which had a bigger impact on the actual overall financial performance of the clinic? Revenues or expenses?
3. Which specific 2 budget items showed the biggest $$ variances? Comment on what you believe were some possible causes for these variances.
4. Explain how you can use at % variances information?

Pro Forma Actual Results End of 2021 $ Variance % Variance Year 2021 Revenues Private Insurance $ 610,000 Medicare $ 240,000 Medicaid $ 30,000 Self-pay $ 62,500 Total revenue $ 942,500 $ $ $ $ $ 552,750 257,040 58,950 32,520 901,260 $ $ $ $ $ (57,250) 17,040 28,950 (29,980) (41,240) -9.4% 7.1% 96.5% -47.9% -4.4% 5,109 216 0.7% 0.2% Expenses Salaries and Benefits $ Medical Supplies $ Administrative Supplies $ Rent and Utilities $ Total expenses $ 702,000 140,000 8,000 52,000 902,000 $ $ $ $ $ 707,109 140,216 7,526 52,620 907,471 $ $ $ $ $ (474) 620 -5.9% 1.2% 5,471 0.6% Income/Loss $ 40,500 ($6,211) $ 35,769