TipTop Flight School offers flying lessons at 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: Variances Planning Budget 140 $ 35,000 $ 1,030 F TipTop Flight School Variance Report For the Month Ended July 31 Actual Results Lessons 145 Revenue $ 36,030 Expenses: Instructor wages 7,835 Aircraft depreciation 5,365 Fuel 3,430 Maintenance 3, 135 Ground facility expenses 2,145 Administration 3,625 Total expense 25,535 Net operating income $ 10,495 7,700 5,180 2,800 3,000 2,220 3,720 24,620 $ 10,380 135 U 185 U 630 U 135 U 75 F 95 F 915 U $ 115 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 q is the number of lessons sold: Cost Formulas $2509 $550 $379 Revenue Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration $200 $620 + $179 $1,800 + $39 $3,440 + $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 (i.e., zero variance). Input all amounts as positive values.)