Galligan Corporation bases its budgets on the activity measure customers served. During July, the company planned to serve 30,000 customers. The company has provided the following data concerning the formulas it uses in its budgeting:

The company has also furnished its income statement for July:

Required: Prepare a report showing the company's activity variances for July. Indicate in each case whether the variance is favorable (F) or unfavorable (U).Be sure to include the dollar amount of the variance.

Galligan Corporation Income Statement For the Month Ended July 31 Actual customers served 34,000 Revenue. $134,200 Expenses: Wages and salaries Supplies 77,700 Insurance 28,100 Miscellaneous Total expense 10,500 Net operating income 5,600 121,900 $12,300