TipTop Flight School offers flying lessons at a small municipal airport. The schools 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			Planning Budget			Variances
Lessons		210			205
Revenue	$	52,230		$	51,250		$	980	F
Expenses:
Instructor wages		14,530			14,350			180	U
Aircraft depreciation		6,720			6,560			160	U
Fuel		3,655			3,075			580	U
Maintenance		3,415			3,235			180	U
Ground facility expenses		1,910			1,960			50	F
Administration		3,435			3,545			110	F
Total expense		33,665			32,725			940	U
Net operating income	$	18,565		$	18,525		$	40	F

After several months of using such variance 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
Revenue	$250q
Instructor wages	$70q
Aircraft depreciation	$32q
Fuel	$15q
Maintenance	$570 + $13q
Ground facility expenses	$1,550 + $2q
Administration	$3,340 + $1q

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.)