TipTop Flight School offers flying lessons a small municipal airport. The school's owner and manager has 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: TipTop Flight School Variance Report For the Month Ended July 31 Actual Results 220 Planning Budget Variances 215 Lessons $ 56,890 $ 55.900 $ 990 F Revenue Expenses: Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration Total expense Net Operating income 16, 315 16,125 1900 7,268 7.e95 165 U 4,030 3, 440 590 U 3,780 3,590 190 2,198 2,245 55 F 3,675 3.790 115 F 37,250 36,285 965 U $ 19,640 $ 19,615 S 25 F 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 is the number of lessons sold Revenue Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration Cost Formulas $2609 $759 $339 $169 $580 + $149 $1,600 + $39 $3,360 + $29 Required: 2. Complete the flexible budget performance report for the school for July (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (ie, zero variance). Input all amounts as positive values.) Tip Top Flight School Flexible Budget Performance Report For the Month Ended July 31 Actual Revenue and Spending Results Variances 220 4 Flexible Budget Activity Variances 220 Planning Budget 215 Lessons u $ 55,900 Revenue $ 56.890 favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Tip Top Front doool Flexible Budget Performance Report For the Month Ended July 31 Actual Revenue and Spending Results Variances 220 Flexible Budget Activity Variances 220 Planning Budget 215 Lessons Revenue $ 56,890 $ 55.900 16,315 U 16.125 Expenses: Instructor wages Aircraft depreciation Fuel 7,260 None U 7.095 U U 3,440 Maintenance 4,030 3,780 2.190 U 3,590 Ground facility expenses TU 2.245 3,790 Administration U Total expense 3.675 37.250 $ 19,640 U u 36,285 F U $ 19,615 Net operating income