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 ) 26,000 Revenue ($3 80 q ) $ 98,800 Expenses Raw materials ($2 10 q ) 54,600 Wages and salaries ($6,100 $0 20 q ) 11,300 Utilities ($1,900 $0 05 q ) 3,200 Facility rent ($3,400) 3,400 Insurance ($3,000) 3,000 Miscellaneous ($600 $0 10 q ) 3,200 Total expense 78,700 Net operating income $ 20,100 In July, 27,000 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 ) 27,000 Revenue ($3 80 q ) $ 102,600 Expenses Raw materials ($2 10 q ) 56,700 Wages and salaries ($6,100 $0 20 q ) 11,500 Utilities ($1,900 $0 05 q ) 3,250 Facility rent ($3,400) 3,400 Insurance ($3,000) 3,000 Miscellaneous ($600 $0 10 q ) 3,300 Total expense 81,150 Net operating income $ 21,450 Required 1 Calculate the companys 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 )

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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

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)	26,000
Revenue ($3.80q)	$ 98,800
Expenses:
Raw materials ($2.10q)	54,600
Wages and salaries ($6,100 + $0.20q)	11,300
Utilities ($1,900 + $0.05q)	3,200
Facility rent ($3,400)	3,400
Insurance ($3,000)	3,000
Miscellaneous ($600 + $0.10q)	3,200
Total expense	78,700
Net operating income	$ 20,100

In July, 27,000 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)	27,000
Revenue ($3.80q)	$ 102,600
Expenses:
Raw materials ($2.10q)	56,700
Wages and salaries ($6,100+ $0.20q)	11,500
Utilities ($1,900 + $0.05q)	3,250
Facility rent ($3,400)	3,400
Insurance ($3,000)	3,000
Miscellaneous ($600 + $0.10q)	3,300
Total expense	81,150
Net operating income	$ 21,450

Required:

1. Calculate the companys 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.)