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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 July 31

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) 21,000
Revenue ($3.80q) $ 79,800
Expenses:
Raw materials ($2.00q) 42,000
Wages and salaries ($6,300 + $0.20q) 10,500
Utilities ($1,900 + $0.05q) 2,950
Facility rent ($3,800) 3,800
Insurance ($2,000) 2,000
Miscellaneous ($400 + $0.10q) 2,500
Total expenses 63,750
Net operating income $ 16,050

In July, 22,000 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) 22,000
Revenue ($3.80q) $ 83,600
Expenses:
Raw materials ($2.00q) 44,000
Wages and salaries ($6,300+ $0.20q) 10,700
Utilities ($1,900 + $0.05q) 3,000
Facility rent ($3,800) 3,800
Insurance ($2,000) 2,000
Miscellaneous ($400 + $0.10q) 2,600
Total expenses 66,100
Net operating income $ 17,500

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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