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)	25,000
Revenue ($3.90q)	$ 97,500
Expenses:
Raw materials ($2.10q)	52,500
Wages and salaries ($6,500 + $0.20q)	11,500
Utilities ($2,200 + $0.05q)	3,450
Facility rent ($3,200)	3,200
Insurance ($2,600)	2,600
Miscellaneous ($400 + $0.10q)	2,900
Total expense	76,150
Net operating income	$ 21,350

In July, 26,000 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)	26,000
Revenue ($3.90q)	$ 101,400
Expenses:
Raw materials ($2.10q)	54,600
Wages and salaries ($6,500+ $0.20q)	11,700
Utilities ($2,200 + $0.05q)	3,500
Facility rent ($3,200)	3,200
Insurance ($2,600)	2,600
Miscellaneous ($400 + $0.10q)	3,000
Total expense	78,600
Net operating income	$ 22,800

Required:

1. Calculate the companys activity variances for July.