Q2. Taptop Fligter Sichosl affers flying lewost at a small municipal aiport. The sciool's owner aad managet hwe been ancentine to evaluate perfocmance and coetel costr usisg a variasce report that conpares the plannisy budgat to actal menalts. A recent variante tepont appean below: Q2. Tiptop Flight School offers flying lessons at a small municipal airport. The school's owner and manager have been attempting to evaluate performance and control costs using a variance report that compares the planning budget to actual results. A recent variance report appears below: After several months of using these reports, the owner has become frustrated. For example, she is quite confident that instructor wages were very tightly controlled in July, but the report shows an unfavorable variance. The planning budget was developed using the following formulas, where q is the number of lessons sold: 1. Should the owner feel frustrated with the variance reports? Explain. 2. Prepare a flexible budget performance report for the school for July. 3. Evaluate the school's performance for July