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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 appears below:

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 Caf Planning Budget For the Month Ended July 31 Budgeted meals (q) Revenue ($3.80g) 27,000 $ 102,600 Expenses: Raw materials ($1.90q) Wages and salaries ($6,300 + $0.20q) Utilities ($2,000 + $0.05g) Facility rent ($3,600) Insurance ($2,200) Miscellaneous ($700 + $0.10q) Total expense 51,300 11,700 3,350 3,600 2,200 3,400 75,550 $ 27,050 Net operating income In July, 28,000 meals were actually served. The company's flexible budget for this level of activity appears below: Flight Caf Flexible Budget For the Month Ended July 31 Budgeted meals (q) Revenue ( $3.80q) 28,000 $ 106,400 Expenses: Raw materials ($1.90q) Wages and salaries ($6,300+ $0.20q) Utilities ($2,000 + $0.05g) Facility rent ($3,600) Insurance ($2,200) Miscellaneous ($700 + $0.10q) 53,200 11,900 3,400 3,600 2,200 3,500 77,800 Total expense Net operating income $ 28,600 Required: 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.)

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