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Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,700 pounds of oysters in August. The companys flexible budget

Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,700 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) 7,700
Revenue ($4.15q) $ 31,955
Expenses:
Packing supplies ($0.40q) 3,080
Oyster bed maintenance ($3,500) 3,500
Wages and salaries ($2,500 + $0.40q) 5,580
Shipping ($0.60q) 4,620
Utilities ($1,200) 1,200
Other ($510 + $0.01q) 587
Total expenses 18,567
Net operating income $ 13,388

The actual results for August were as follows:

Quilcene Oysteria
Income Statement
For the Month Ended August 31
Actual pounds 7,700
Revenue $ 27,300
Expenses:
Packing supplies 3,250
Oyster bed maintenance 3,360
Wages and salaries 5,990
Shipping 4,350
Utilities 1,010
Other 1,207
Total expenses 19,167
Net operating income $ 8,133

Required:

Calculate the companys revenue and spending variances for August.

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