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		43,000			41,000
Revenue ($4.5q)	$	194,050		$	184,500		$	9550		F
Expenses:
Wages and salaries ($36,600 + $1.6q)		108,000			102,200			5,800		U
Supplies ($0.8q)		33,550			32,800			750		U
Insurance ($13,600)		14,150			13,600			550		U
Miscellaneous expense ($6,600 + $0.5q)		29,600			27,100			2,500		U
Total expense		185,300			175,700			9,600		U
Net operating income	$	8,750		$	8,800		$	-50		F

Prepare the company's flexible budget performance report for December select each variance as favorable, unfavorable, or None. (Part 1 and 2)