Cicchetti Corporation uses customers served as its measure of activity. The following report compares the planning budget to the actual operating results for the month of December: Cicchetti Corporation Comparison of Actual Results to Planning Budget For the Month Ended December 31 Actual Results Planning Budget Variances Customers served 42,000 41,000 Revenue (3.60q) $ 151,000 $ 147,600 $ 3,400 F Expenses: Wages and salaries ($24,100 + $1.31q) 79,120 77,810 1,310 U Supplies ($0.71q) 27,910 29,110 1,200 F Insurance ($6,000) 6,000 6,000 0 Miscellaneous expense ($5,000 + $.40q) 20,200 21,400 1,200 F Total expense 133,230 134,320 1,090 F Net operating income $ 17,770 $ 13,280 $ 4,490 F

Required: 1. Prepare a report showing the companys revenue and spending variances for December.