Please explain step by step. Vulcan Flyovers offers scenic overflights of Mount Saint Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company's operations in July appear below: Vulcan Flyovers Operating Data For the Month Ended July 31 Actual Results Flexible Budget Planning Budget Flights (q) 48 48 50 Revenue ($320.00q) $ 13,650 $ 15,360 $ 16,000 Expenses: Wages and salaries ($4,000 + $82.00q) 8,430 7,936 8,100 Fuel ($23.00q) 1,260 1,104 1,150 Airport fees ($650 + $38.00q) 2,350 2,474 2,550 Aircraft depreciation ($7.00q) 336 336 350 Office expenses ($190 + $2.00q) 460 286 Total expense 12,836 12,136 290 12,440 Net operating income $ 814 $ 3,224 $ 3,560 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount. Required: 1. Prepare a flexible budget performance report for July that includes revenue and spending variances and activity variances. (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.)