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Roberds Tech is a for-profit vocational school. The school bases its budgets on two measures of activity (i.e., cost drivers), namely student and course. The

Roberds Tech is a for-profit vocational school. The school bases its budgets on two measures of activity (i.e., cost drivers), namely student and course. The school uses the following data in its budgeting:

Fixed element per month Variable element per student Variable element per course
Revenue $ 0 $ 278 $ 0
Faculty wages $ 0 $ 0 $ 3,060
Course supplies $ 0 $ 48 $ 36
Administrative expenses $ 26,300 $ 23 $ 48

In March, the school budgeted for 1,870 students and 84 courses. The school's income statement showing the actual results for the month appears below:

Roberds Tech
Income Statement
For the Month Ended March 31
Actual students 1,770
Actual courses 87
Revenue $ 391,340
Expenses:
Faculty wages 212,950
Course supplies 60,590
Administrative expenses 74,562
Total expense 348,102
Net operating income $ 43,238

Required:

Prepare a flexible budget performance report showing both the school's activity variances and revenue and spending variances for March. Label each variance as favorable (F) or unfavorable (U). (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.)

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