The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $4,500 plus $33 per job, and the actual mobile lab operating expenses for February were $8,630. The company expected to work 130 jobs in February, but actually worked 136 jobs.

Prepare a flexible budget performance report showing AirQual Test Corporations revenue and spending variances and activity variances for February. (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.)

Fixed Component Variable Component per Job $ 275 per Month Revenue Technician wages Mobile lab operating expenses Office expenses Advertising expenses Insurance Miscellaneous expenses $ 33 $ 3 $ 8,500 $ 4,500 $ 2,600 $ 1,560 $ 2,870 $ 920 Actual Total for February $ 33,000 $ 8,350 $ 8,630 $ 2,840 $ 1,630 $ 2,870 $ 355 $ 1 AirQual Test Corporation Flexible Budget Performance Report For the Month Ended February 28 Actual Results Flexible Budget Planning Budget Jobs 136 Revenue $ 33,000 Expenses: 8,350 Technician wages Mobile lab operating expenses Office expenses 8,630 Advertising expenses 2,840 1,630 2,870 Insurance Miscellaneous expenses 355 Total expense 24,675 Net operating income $ 8,325