Exchange Corp. is a company that acts as a facilitator in tax-favored real estate swaps. Such swaps, know as 1031 exchanges, permit participants to avoid some or all of the capital gains taxes that would otherwise be due. The bookkeeper for the company has been asked to prepare a report for the company to help its owner/manager analyze performance. The first such report appears below: Exchange Corp Analysis of Revenues and Costs For the Month Ended May 31 Planning Budget Unit Actual Unit Revenues Revenues and Costs and Costs Variances 20 Exchanges completed Revenue 25 $630 S 40 U Expenses: Legal and search fees Office expenses Equipment depreciation Rent 209 196 24 60 12 501 $ 89 195 233 30 75 15 548 14 U 37 F 6 F 15 F 3 F 47 F S 7 F Insurance Total expense Net operating income $ 82