. Ch. 9: Homework i Saved Help Save & Exit Submit Check my work 1 TipTop Flight School Variance Report For the Month Ended July 31 Actual Results 230 Planning Budget 225 Variances 18 Lessons points $ 66,350 $ 65,250 $1,100 F eBook Revenue Expenses: Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration Total expense Net operating income 14,830 14,625 205 U 8,050 7,875 175 U 5,200 4,500 700 U 4,720 4,515 205 U 3,025 3,050 25 F 4,175 4,255 BOF 40,000 38,820 1,180 U $ 26,350 $ 26,430 $ BOF Print References After several months of using these reports, the owner has become frustrated. For example, she is quite confident that instructor wages were very tightly controlled in July, but the report shows an unfavorable variance. The planning budget was developed based on the following information. Variable costs and the variable component of mixed costs) vary based on the number of lessons sold. (Hint: To get the variable component of the mixed cost, subtract the fixed amount from the total and divide by the number of units in the planning budget.) variable variable Revenue Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration variable variable mixed: $690 is fixed mixed: $2,150 is fixed mixed: $3,580 is fixed Check my work 1 Administration mixed: $3,580 is fixed 18 points Required: 2. Complete the flexible budget performance report for the school for July. (Indicate the effect of each varlance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) cBook Tip Top Flight School Flexible Budget Performance Report For the Month Ended July 31 Actual Revenue and Spending Results Variances 230 Activity Variances Print Flexible Budget 230 Planning Budget 225 Lessons References Revenue $ 66,350 EU F $ 65,250 F u Expenses: Instructor wages Aircraft depreciation Fuel 14,830 8,050 5,200 0 None u U U u U 14,625 7.875 4,500 4,515 u 4,720 3,025 U F U 3,050 Maintenance Ground facility expenses Administration Total expense Net operating Income 4,175 U F LI LI 40,000 $ 26,350 4,255 38,820 $ 26,430 $ U F