Cost Formula Utilities $17,000+ $0.12 per machine-hour Maintenance $38,400 + $2.10 per machine-hour Supplies 50.40 per machine-hour Indirect labor $94,500+ $1.40 per machine-hour Depreciation $68,400 Actual Cost in March $ 21,080 $ 72,100 $ 7,400 $122,000 $ 70,100 During March, the company worked 17,000 machine-hours and produced 11,000 units. The company had originally planned to work 19,000 machine-hours during March Required: 1. Calculate the activity variances for March. 2. Calculate the spending variances for March Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate the spending variances for March (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance). Input all amounts as positive values.) FAB Corporation Spending Variances For the Month Ended March 31 Utilities U Maintenance F Supplies U Indirect labor U Depreciation 0 Total U Revenue Technician wages Mobile Inb operating expenses office expenses Advertising expenses Insurance Miscellaneous expenses Variable Fixed Component Component per per Month Job $ 276 $ 8,100 $ 4,600 $ 32 $ 2,400 $ $ 1,570 $ 2,870 $ 960 Actual Total for February $ 35,890 $ 7,950 $ 8,920 $ 2,670 $ 1,640 $ 2,870 $ 545 The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $4,600 plus $32 per job, and the actual mobile lab operating expenses for February were $8,920. The company expected to work 140 jobs in February, but actually worked 148 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 (.e., zero variance). Input all amounts as positive values.) AirQual Test Corporation Flexible Budget Performance Report For the Month Ended February 28 Actual Results Revenue and Spending Variances Flexible Budget Activity Variances Planning Budget Jobs 148 148 140 Revenue $ 35,890 U 150 8.100 of None 416 F 9,336 2560 174 Expenses Technician wages Mobile lab operating expenses Office expenses Advertising expenses Insurance Miscellaneous expenses Total expense Net operating income 700 7,950 8,920 2,670 1,640 2,870 545 24,595 $ 11,295 2,844 1,570 2,870 240 of None of None O None F U F