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Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,300 pounds of oysters in August. The companys flexible budget

Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,300 pounds of oysters in August. The companys flexible budget for August appears below:

Quilcene Oysteria Flexible Budget For the Month Ended August 31
Actual pounds (q) 7,300
Revenue ($4.25q) $ 31,025
Expenses:
Packing supplies ($0.25q) 1,825
Oyster bed maintenance ($3,100) 3,100
Wages and salaries ($2,100 + $0.35q) 4,655
Shipping ($0.75q) 5,475
Utilities ($1,280) 1,280
Other ($440 + $0.01q) 513
Total expense 16,848
Net operating income $ 14,177

The actual results for August appear below:

Quilcene Oysteria Income Statement For the Month Ended August 31
Actual pounds 7,300
Revenue $ 27,000
Expenses:
Packing supplies 1,995
Oyster bed maintenance 2,960
Wages and salaries 5,065
Shipping 5,205
Utilities 1,090
Other 1,133
Total expense 17,448
Net operating income $ 9,552

Required:

Compute the companys revenue and spending variances for August.

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