TipTop Flight School offers flying lessons at a small municipal airport. The school's owner and manager ha planning budget to actual results. A recent variance report appears below evaluate performance and control costs using a variance report that compares the Variance Report For the Month Ended July 31 Actual Planning Results Budget Variances 165 160 Lessons Revenue $38,100 $ 35,200 $ 900 F Expenses Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration 10.41010,240 170 U 6,2706,080190 U 3,6903,200490 U 2,465 2,800 2.5055 4,2954,35055 F 2,750 140 U 2.580 95 F Total expense 30,020 29.180840 U Net operating income s 6,080 $ 0,020 S 60 F Ater several months of using such variance reports, the owner has become frustrated For example, she is qune confident that instructor wages were very tightiy controlied in July, but the report shows an unfavcrable variance The pianning budget was Gveloped using the following formulas where q is the number of essons sold Cost Fomulas Revenue Instructor wages Aircrah decreclaton 3844 1384 Marienance red Indicataithe effect of eaoh pe here to search if O ezto.mheducauorn.com?m unfavorable variance The planning budget was developed using the following formulas, where q is the number of lessons sold: $220q Instructor wages$84q Revenue Aircraft depreciation Fuel Maintenance Ground facility expenses $38q $20q $ 670+$13q 30q $4.190 $1q $1,800 + 2. Complete the flexable 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)) TipTop Flight School Flexible Budget Performance Report For the Month Ended July 31 Actual Revenue and Spending Flexible Activity Variances Bud Revenge S 36.100 nstructor vwages Aircrah depreciation Fuel Maintenance Ground faclity expenses 8.270 3,690 2.890 2:485 4,295 30.020 Total expense Net operateg income Type here to search