k nces my wo Flight Caf prepares in-flight meals for airlines in its kitchen located next to a local airport_ The company's planning budget for July appears below: For Flight Caf Planning Budget the Month Ended July 31 Budgeted meals (q) Revenue ($4.009) Expenses: Raw materials ($2.20q) Wages and salaries ($6,300 + $0.209) Utilities ($2,100 + $0.05q) Facility rent ($3,500) Insurance ($2,400) Miscellaneous ($700 +$0.109) Total expense Net operating income 25,000 $ 100,000 55,000 11,300 3,350 3,500 2,400 3,200 78,750 $ 21,250 In July, 26,000 meals were actually served. The company's 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 ($4.009) Expenses: Raw materials ($2.20q) Wages and salaries ($6,300+ $0.20g) Utilities ($2,100 + $0.059) Facility rent ($3,500) Insurance ($2,400) Miscellaneous ($700 $0.10q) Jotal expense Net operating income $ 104,000 57,200 11,500 3,400 3,500 2,400 3,300 81,300 $ 22,700