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Flight Caf prepares in - flight meals for airlines and its planning budget for July appears below: Flight Caf Planning Budget For the Month Ended

Flight Caf prepares in-flight meals for airlines and its planning budget for July appears below:
Flight Caf
Planning Budget
For the Month Ended July 31
Budgeted meals (q)27,000
Revenue ($4.50q) $ 121,500
Expenses:
Raw materials ($2.30q)62,100
Wages and salaries ($6,400+ $0.20q)11,800
Utilities ($2,000+ $0.05q)3,350
Facility rent ($3,400)3,400
Insurance ($2,000)2,000
Miscellaneous ($700+ $0.10q)3,400
Total expenses 86,050
Net operating income $ 35,450
In July, 28,000 meals were actually served. The companys flexible budget for this level of activity appears below:
Flight Caf
Flexible Budget
For the Month Ended July 31
Budgeted meals (q)28,000
Revenue ($4.50q) $ 126,000
Expenses:
Raw materials ($2.30q)64,400
Wages and salaries ($6,400+ $0.20q)12,000
Utilities ($2,000+ $0.05q)3,400
Facility rent ($3,400)3,400
Insurance ($2,000)2,000
Miscellaneous ($700+ $0.10q)3,500
Total expenses 88,700
Net operating income $ 37,300
Required:
1. Calculate the companys activity variances for July.
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.

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