EXERCISE 9-4 Prepare a Flexible Budget Performance Report Vulcan Flyovers offers scenic overflights of Mount St. 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 Planning Flexible Actual Results Budget Budget Flights 50 48 48 Revenue 16,000 15,360 13,650 Expenses: Wages/Salaries 8100 7,936 8430 Fuel (23.00q) 1,150 1,104 1,260 Airport Fees (650 + 38.oo q)2,550 2,474 2,350 Aircraft Depreciation(7.00q) 350 336 336 Office expenses (1.90 + 2.00q) 290 286 460 Total expenses 12,440 12,136 12,836 Net Operating Income 3,560 3,224 814 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. 2. Which of the variances should be of concern to management? Explain. Please answer in this format..Thanks Vulcan Flyovers Flexible Budget Performance Report For the Month Ended July 31 Planning Budget Activity Variance Flex Budget Rev and Sending Flights (q) . 50 48 Revenue ($???) . Expenses: Wages and salaries ($???? + $??) Fuel ($???q) . Airport fees ($???+ $???q) . Aircraft depreciation ($???q) . Office expenses ($??? + $???q) . Total expense . Net operating income . 2. Please fully explain your answer