1. Frum Corporation uses customers served as its measure of activity. During June, the company budgeted for 26,000 customers, but actually served 23,000 customers. The company bases its budgets on the following information: Revenue should be $2.80 per customer served. Wages and salaries should be $22,200 per month plus $0.70 per customer served. Supplies should be $0.50 per customer served. Insurance should be $5,200 per month. Miscellaneous expenses should be $2,100 per month plus $0.30 per customer served. The company reported the following actual results for June: Revenue $63,800 Wages and salaries $37,100 Supplies $9,900 Insurance $5,400 Miscellaneous expense $6,200 Required: Prepare the company's flexible budget performance report for June. Label each variance as favorable (F) or unfavorable (U). 2. (4 points) The standards for product F88W specify 3.5 direct labor-hours per unit at $13.00 per direct labor-hour. Last month 800 units of product F88 W were produced using 2,500 direct labor-hours at a total direct labor wage cost of $30,500. Required: a. What was the labor rate variance for the month? b. What was the labor efficiency variance for the month