Exercise 9-4 (Algo) Prepare a Flexible Budget Performance Report [LO9-4] Vulcan Flyovers offers scenic overflights of Mount Saint Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company's operations in July appear below: Vulcan Flyovers Operating Data For the Month Ended July 31 Actual Results Flexible Budget Planning Budget Flights (q) Revenue ($360.00g) Expenses: Wages and salaries ($3,600 +$88.00g) Fuel ($33.00g) Airport fees ($870 + $33.00g) Aircraft depreciation ($9.00g) Office expenses ($230 +$1.00g) Total expense Net operating income. 59 59 57 $ 16,000 $ 21,240 $ 20,520 8,756 8,792 8,616 2,111 1,947 1,881 2,702 2,817 2,751 531 531 513 457 289 287 14,557 14,376 $ 1,443 $ 6,864 $ 6,472 14,048 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount. Required: 1. Prepare a flexible budget performance report for July that includes revenue and spending variances and activity variances. (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.) Flights Revenue Actual Results 59 $ 16,000 Vulcan Flyovers Flexible Budget Performance Report For the Month Ended July 31 Flexible Budget Planning Budget 59 57 $ 21,240 $ 20,520 Expenses: Wages and salaries 8,756 Fuel 2,111 Airport fees 2,702 Aircraft depreciation 531 8,792 1,947 2,817 531 8,616 1,881 2,751 513 Office expenses 457 289 287 Total expense 14,557 14,376 14,048 Net operating income $ 1,443 $ 6,864 $ 6,472