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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 CafPlanning BudgetFor the Month Ended July 31Budgeted meals (q)28,000Revenue ($4.10q)$ 114,800Expenses: Raw materials ($2.20q)61,600Wages and salaries ($6,000 + $0.20q)11,600Utilities ($1,900 + $0.05q)3,300Facility rent ($3,100)3,100Insurance ($2,900)2,900Miscellaneous ($900 + $0.10q)3,700Total expense86,200Net operating income$ 28,600

In July, 29,000 meals were actually served. The companys flexible budget for this level of activity appears below:

Flight CafFlexible BudgetFor the Month Ended July 31Budgeted meals (q)29,000Revenue ($4.10q)$ 118,900Expenses: Raw materials ($2.20q)63,800Wages and salaries ($6,000+ $0.20q)11,800Utilities ($1,900 + $0.05q)3,350Facility rent ($3,100)3,100Insurance ($2,900)2,900Miscellaneous ($900 + $0.10q)3,800Total expense88,750Net operating income$ 30,150

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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