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)		28,000
Revenue ($4.30q)	$	120,400
Expenses:
Raw materials ($1.90q)		53,200
Wages and salaries ($6,300 + $0.20q)		11,900
Utilities ($2,000 + $0.05q)		3,400
Facility rent ($3,400)		3,400
Insurance ($2,600)		2,600
Miscellaneous ($500 + $0.10q)		3,300
Total expense		77,800
Net operating income	$	42,600

In July, 29,000 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)		29,000
Revenue ($4.30q)	$	124,700
Expenses:
Raw materials ($1.90q)		55,100
Wages and salaries ($6,300+ $0.20q)		12,100
Utilities ($2,000 + $0.05q)		3,450
Facility rent ($3,400)		3,400
Insurance ($2,600)		2,600
Miscellaneous ($500 + $0.10q)		3,400
Total expense		80,050
Net operating income	$	44,650

Required:

1. Calculate the companys activity variances for July.