HW: Multiple choices questions &E10, E15 (all on Connect) -2-2 In-class practice: Exercise 9-17 Flexible Budget Performance Report http://ezto.mhedu AirQual Test Corporaion provides on-site air quality testing services. The company has provided the following cost formulas and actual results for the month of February: Fixed Component Variable Actual Total per Month Component per Job for February Revenue $360 $ 18,950 Technician wages $ 6,400 $ 6,450 Mobile lab operating expenses $ 2,900 $ 35 $ 4,530 Office expenses $ 2,600 $ 2 $ 3,050 Advertising expenses $ 970 $ 995 Insurance $ 1,680 $ 1,680 Miscellaneous expenses $ 500 $ 3 $ 465 The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $2,900 plus $35 per job, and the actual mobile lab operating expenses for February were $4,530. The company expected to work 50 jobs in February, but actually worked 52 jobs. Required: Prepare a flexible budget performance report showing AirQual Test Corporation's revenue and spending variances and activity variances for February. (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.) Required: Prepare a flexible budget performance report showing AirQual Test Corporation's revenue and spending variances and activity variances for February (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.) Actual Rev& Flexible activity Planning Result Spending Budget Variance Budget (1) Var (1)-(2) (2) (2)-(3) (3) 52 52 18,950 Number of Jobs (0) Revenue Expenses Technician wages Mobile lab operating exp Office expenses Advertising expenses Insurance Miscellaneous exp. Total expenses Net operating income 6,450 4,530 3,050 995 1,680 465 17,170 1,780