AirQual Test Corporation provides on$-$site air quality testing services. The company has provided the following cost formulas and

actual results for the month of February:

The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $$4,900$ plus

$$35$ per job, and the actual mobile lab operating expenses for February were $$8,940.$ The company expected to work $120$ jobs in

February, but actually worked $124$ jobs.

Required:

Prepare a flexible budget performance report showing AirQual Test Corporation's revenue and spending variances and activity

variances for February. $($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.$)$

Answer is not complete.AirQual Test Corporation provides on$-$site air quality testing services. The company has provided the following cost formulas and actual results for the month of February:

Fixed Component per Month Variable Component per Job Actual Total for February

Revenue $ $275$ $ $30,250$

Technician wages $ $8,100$ $ $7,950$

Mobile lab operating expenses $ $4,900$ $ $35$ $ $8,940$

Office expenses $ $2,400$ $ $4$ $ $2,730$

Advertising expenses $ $1,570$ $ $1,640$

Insurance $ $2,850$ $ $2,850$

Miscellaneous expenses $ $960$ $ $1$ $ $385$

The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $$4,900$ plus $$35$ per job, and the actual mobile lab operating expenses for February were $$8,940.$ The company expected to work $120$ jobs in February, but actually worked $124$ jobs.

Required:

Prepare a flexible budget performance report showing AirQual Test Corporation$$s revenue and spending variances and activity variances for February. $($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.$)$