Flight Caf Planning Budget For the Month Ended July 31 27,000 $ 108,000 Budgeted meals (q) Revenue ($4.00q) Expenses: Raw materials ($1.80q) Wages and salaries ($6,100 + $0.20q) Utilities ($2,000 + $0.05q) Facility rent ($3,300) Insurance ($2,100) Miscellaneous ($800 + $0.109) Total expenses Net operating income 48,600 11,500 3,350 3,300 2,100 3,500 72,350 $ 35,650 In July, 28,000 meals were actually served. The company's flexible budget for this level of activity appears below: Flight Caf Flexible Budget For the Month Ended July 31 Budgeted meals (q) Revenue ($4.009) Expenses: Raw materials ($1.809) Wages and salaries ($6,100+ $0.20q) Utilities ($2,000 + $0.05q) Facility rent ($3,300) Insurance ($2,100) Miscellaneous ($800 + $0.10q) Total expenses Net operating income Required: 1. Calculate the company's activity variances for July. 28,000 $ 112,000 50,400 11,700 3,400 3,300 2,100 3,600 74,500 $ 37,500 Note: 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.