Pie Guys Pizzeria is owned and operated by three brothers. Data concerning the pizzeria's monthly revenues and costs appear below (q refers to the number of pizzas served): Revenue Cost of ingredients Rent Utilities Wages Formula $15.504 $5.50q $7,250 $1000 + $0.84 $10,750 (a) Prepare the pizzeria's planning budget for July 2021 assuming that 4,500 pizzas are served. (b) Assume that 4,200 pizzas were served in July 2021. Prepare a flexible budget for this level of activity. (c) Actual results for July appear below. Prepare a flexible budget performance report for the pizzeria for July 2021. Revenue Cost of ingredients Rent Utilities Wages $62,000 25,800 6,250 4,000 9,750 (d) Explain the possible reasons for the favorable and unfavorable variances identified in the performance report (Note: Due to Pandemic situation rent has been decreased by $1000, and imported ingredients cost has increased due to less supply)