Prob 1. Using the following table, calculate the volume and cost variances for the pediatric nursing unit at Codman Medical Center. Is the overage due primarily to Expense Salaries and Wages Fringe Benefits Supplies Depreciation Interest Other Total Expenses Patient Days 2022 YTD Actual $175,200 69,200 126,000 25,000 8,400 109,300 $513,100 47,700 2022 YTD Budget $169,000 68,000 124,000 24,000 9,000 110,000 $504,000 47,200 volume or cost increases? Salaries account for $6,200 of the total variance of $9,100. Explain why salaries and benefits cost $6,200 more than budgeted. $ Difference $6,200 1,200 2,000 1,000 -600 -700 $9,100 500 % Difference 3.7% 1.8% 1.6% 4.2% -6.7% -0.6% 1.8% 1.1%

1. Using the following table, calculate the volume and cost variances for the pediatric nursing unit at Codman Medical Center. Is the overage due primarily to volume or cost increases? Salaries account for $6,200 of the total variance of $9,100. Explain why salaries and benefits cost $6,200 more than budgeted. \begin{tabular}{l|r|r|r|r} \hline & 2022 YTD & 2022 YTD & & \\ \hline Expense & Actual & Budget & \$Difference & \% Difference \\ \hline Salaries and Wages & $175,200 & $169,000 & $6,200 & \multicolumn{1}{|c|}{3.7%} \\ \hline Fringe Benefits & 69,200 & 68,000 & 1,200 & 1.8% \\ \hline Supplies & 126,000 & 124,000 & 2,000 & 1.6% \\ \hline Depreciation & 25,000 & 24,000 & 1,000 & 4.2% \\ \hline Interest & 8,400 & 9,000 & -600 & 6.7% \\ \hline Other & 109,300 & 110,000 & 700 & 0.6% \\ \hline Total Expenses & $513,100 & $504,000 & $9,100 & 1.8% \\ \hline Patient Days & 47,700 & 47,200 & 500 & 1.1% \\ \hline \end{tabular}