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 Caf Planning Budget For the Month Ended July 31 Budgeted meals (q) Revenue ($4.48q) Expenses: Raw materials ($1.800) Wages and salaries ($6,100 $0.200) Utilities ($2,000 + $0.05q) Facility rent ($3,900) Insurance ($2,500) Miscellaneous (5900 + 50.109) Total expense Net operating income 23,000 $101,200 41,400 10,700 3,150 3,900 2,500 3,200 64,850 $ 36,350 In July, 24,000 meals were actually served. The company's flexible budget for this level of activity appears below Budgeted meals (q) Revenue ($4.480) Expenses: Flight Caf Flexible Budget For the Month Ended July 31 Raw materials ($1.809) Wages and salaries (56,100+ $0.200) Utilities ($2,000 +$0.054) Facility rent ($3,900) Insurance ($2,500) Miscellaneous (5900 50.10g) Total expense Net operating income Required: 24,000 $ 105,600 43,200 10,900 3,200 3,900 2,500 3,300 67,000 $38,600 1. Calculate the company's activity variances for July. (Indicate the effect of each variance by selecting "F" for favorable, "U" for " unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)