A company operates jeep tours around Smoky Mountains. The company bases its budgets on two measures of activity, namely guests and jeeps. One vehicle used in one tour on one day counts as a jeep. Each jeep has one tour guide. The company uses the following data in its budgeting: Revenue Tour guide wages Vehicle expenses Administrative expenses Fixed element per Variable element month per guest Administrative expenses Total expense Net operating income 3,700 1,600 0 0 402 112 $39,740 18,178 14,604 2,374 35,156 $4,584 100 0 13 2 Variable element per jeep In May, the company budgeted for 407 guests and 113 jeeps. The company's income statement shows the actual results for the month. Income Statement on May 31 Actual guests Actual jeeps Revenue Expenses: Tour guide wages Vehicle expenses 0 164 49 0 Prepare a flexible budget performance report showing both the company's activity variances and revenue and spending variances for May. Label each variance as favorable (F) or unfavorable (U).