4) Flight Caf prepares in-flight meals for airlines in its kitchen located next to a local airport. The companys planning budget for July appears below:

Flight Caf
Planning Budget
For the Month Ended July 31
Budgeted meals (q)	22,000
Revenue ($4.20q)	$ 92,400
Expenses:
Raw materials ($2.30q)	50,600
Wages and salaries ($6,000 + $0.20q)	10,400
Utilities ($1,900 + $0.05q)	3,000
Facility rent ($3,700)	3,700
Insurance ($2,400)	2,400
Miscellaneous ($400 + $0.10q)	2,600
Total expense	72,700
Net operating income	$ 19,700

In July, 23,000 meals were actually served. The companys flexible budget for this level of activity appears below:

Flight Caf
Flexible Budget
For the Month Ended July 31
Budgeted meals (q)	23,000
Revenue ($4.20q)	$ 96,600
Expenses:
Raw materials ($2.30q)	52,900
Wages and salaries ($6,000+ $0.20q)	10,600
Utilities ($1,900 + $0.05q)	3,050
Facility rent ($3,700)	3,700
Insurance ($2,400)	2,400
Miscellaneous ($400 + $0.10q)	2,700
Total expense	75,350
Net operating income	$ 21,250

Required:

1. Calculate the companys activity variances for July. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)