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Exercise 9-2 (Algo) Activity Variances [LO9-2] Flight Caf prepares in-flight meals for airlines in its kitchen located next to a local airport. The company's planning

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Exercise 9-2 (Algo) Activity Variances [LO9-2] Flight Caf prepares in-flight meals for airlines in its kitchen located next to a local airport. The company's planning budget for July appears below: Flight Cafe Planning Budget For the Month Ended July 31 Budgeted seals (9) 28,000 Revenue (54.489) $ 123,200 Expenses Raw materials ($2.300) 64,400 Mages and salaries (56,200 + $0.209) 11,500 Utilities (51,800 50.054) 3,200 Facility rent (53,309) 3,300 Insurance (52,800) 2,500 Miscellaneous (5800 50.100) 3,600 Total expense 89, 100 Net operating Income $ 34,100 In July, 29,000 meals were actually served. The company's flexible budget for this level of activity appears below: Flight Care Flexible Budget For the Month Ended July 31 Budgeted salt (0) 29,000 evenue (54,404) 122.600 Expenses Rasaterials (52.300) 66,700 Wages and salaries (56,200+ 54.209) 12,000 utilities ($1,500 + 50.05) 3.250 Facility rent ($3,300) 3,300 Insurance (52,00) 2.000 Miscellaneous (5000+ $0.109) 2,200 Total expense 91,250 Net operating Income $ 35,850 Required: 1. Calculate the company's activity variances for July (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfovorable, and "None" for no effect (l.e., zero variance). Input all amounts as positive values.) Fight Cole Activity Variances For the Month Ended July 31 29,000 $ 127,600 Flight Caf Flexible Budget For the Month Ended July 31 Budgeted meals (9) Revenue ($4.409) Expenses: Raw materials ($2.309) Wages and salaries ($6,200+ $0.209) Utilities ($1,800 + $0.059) Facility rent ($3,300) Insurance ($2,800) Miscellaneous ($800 + $0.109) Total expense Net operating income 66,700 12,000 3,250 3,300 2,800 3,700 91,750 $ 35,850 Required: 1. Calculate the company's activity variances for July (Indicate the effect of each va unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as po Flight Caf Activity Variances For the Month Ended July 31 Revenue Expenses Raw materials Wages and salaries Utilities Facility rent Insurance Miscellaneous Total expense a Net operating income

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