Flight Caf prepares in-flight meals for airlines in its kitchen located next to a local airport. The company's planning budget for July appears below. Flight Cafe Planning Budget For the Month Ended July 31 Budgeted meals (Q) Revenue ($4.400) Expenses: Raw materials ($2.28q) Wages and salaries ($6,100 $0.20q) $0.05q) Facility rent ($3,600) Utilities ($2,200 Insurance ($2,100) Miscellaneous ($500 $0.10) Total expense Net operating income 28,000 $ 123,200 61,600 11,700 3,600 3,600 2,100 3,300 85,900 $ 37,300 In July, 29,000 meals were actually served. The company's flexible budget for this level of activity appears below: Flight Cafe Flexible Budget For the Month Ended July 31 Budgeted meals (q) Revenue ($4.400) Expenses: Raw materials ($2.28q) Wages and salaries ($6, 100+ $0.200) Utilities ($2,200 + $0.054) Facility rent ($3,600) Insurance ($2,100) Miscellaneous ($500 $0.10) Total exoense 29,000 $ 127,600 63,800 11,900 3,650 3,600 2,100 3,400 88.450 Total expense Net operating income 85,990 $ 37,300 In July, 29,000 meals were actually served. The company's flexible budget for this level of activity appears below: Flight Cafe Flexible Budget For the Month Ended July 31 Budgeted meals (Q) Revenue ($4.400) Expenses: Raw materials ($2.20q) Utilities ($2,200 $0.05q) Wages and salaries ($6,100+ $0.200) Facility rent ($3,600) Insurance ($2,100) Miscellaneous ($500 $0.10g) Total expense Net operating income Required: 20,000 $127,600 63,800 11,900 3,650 3,600 2,100 3,400 88,450 $ 39,150 1. Calculate the company's activity variances for July. (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.) Flight Caf Activity Variances Cathe Month Endad Sudha 11. Required: . Calculate the company's activity variances for July. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (ie., zero variance). Input all amounts as positive values.) Revenue Expenses: Raw materials Flight Caf Activity Variances For the Month Ended July 31 Wages and salaries Utilities Facility rent Insurance Miscellaneous Total expense Net operating income