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 ($4.10q) $ 106,600 Expenses: Raw materials ($2.00q) 52,000 Wages and salaries ($6,500 + $0.20q) 11,700 Utilities ($1,900 + $0.05q) 3,200 Facility rent ($3,800) 3,800 Insurance ($2,900) 2,900 Miscellaneous ($500 + $0.10q) 3,100 Total expense 76,700 Net operating income $ 29,900 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 ($4.10q) $ 110,700 Expenses: Raw materials ($2.00q) 54,000 Wages and salaries ($6,500+ $0.20q) 11,900 Utilities ($1,900 + $0.05q) 3,250 Facility rent ($3,800) 3,800 Insurance ($2,900) 2,900 Miscellaneous ($500 + $0.10q) 3,200 Total expense 79,050 Net operating income $ 31,650 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.)