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Flight Caf prepares in - flight meals for airlines in its kitchen located next to a local airport. The company s planning budget for July

Flight Caf prepares in-flight meals for airlines in its kitchen located next to a local airport. The companys planning budget for July appears below:
Flight Caf
Planning Budget
For the Month Ended July 31
Budgeted meals (q)22,000
Revenue ($4.30q) $ 94,600
Expenses:
Raw materials ($1.90q)41,800
Wages and salaries ($6,200+ $0.20q)10,600
Utilities ($1,900+ $0.05q)3,000
Facility rent ($3,200)3,200
Insurance ($2,700)2,700
Miscellaneous ($800+ $0.10q)3,000
Total expense 64,300
Net operating income $ 30,300
In July, 23,000 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)23,000
Revenue ($4.30q) $ 98,900
Expenses:
Raw materials ($1.90q)43,700
Wages and salaries ($6,200+ $0.20q)10,800
Utilities ($1,900+ $0.05q)3,050
Facility rent ($3,200)3,200
Insurance ($2,700)2,700
Miscellaneous ($800+ $0.10q)3,100
Total expense 66,550
Net operating income $ 32,350
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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