E9-18 - Please explain how you arrived at your answers. Thank you!

Exercise 9-18 Flexible Budget Performance Report [LO1, LO4]

AirAssurance Corporation provides on-site air quality testing services. The company has provided the following data concerning its operations:

	Fixed Component per Month		Variable Component per Job	Actual Total for March
Revenue			$276	$	35,890
Technician wages	$	8,300		$	8,150
Mobile lab operating expenses	$	4,900	$29	$	9,120
Office expenses	$	2,600	$3	$	2,870
Advertising expenses	$	1,620		$	1,690
Insurance	$	2,860		$	2,860
Miscellaneous expenses	$	970	$1	$	415

The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $4,900 plus $29 per job, and the actual mobile lab operating expenses for March were $9,120.

The company expected to work 140 jobs in March, but actually worked 138 jobs.

Required:

Complete the flexible budget performance report showing AirAssurance Corporations activity variances and revenue and spending variances for March. (Input all amounts as positive values. Leave no cells blank - be certain to enter "0" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Omit the "$" sign in your response.)

AirAssurance Corporation Flexible Budget Performance Report For the Month Ended March 31
	Activity Variances		Revenue and Spending Variances
Revenue	$	(Click to select)NoneFU	$	(Click to select)FNoneU
Expenses:
Technician wages		(Click to select)FUNone		(Click to select)UNoneF
Mobile lab operating expenses		(Click to select)FNoneU		(Click to select)FUNone
Office expenses		(Click to select)FNoneU		(Click to select)NoneFU
Advertising expenses		(Click to select)FNoneU		(Click to select)UFNone
Insurance		(Click to select)NoneFU		(Click to select)FUNone
Miscellaneous expenses		(Click to select)UNoneF		(Click to select)FNoneU
Total expense		(Click to select)NoneFU		(Click to select)FUNone
Net operating income	$	(Click to select)NoneFU	$	(Click to select)UFNone