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: TipTop Flight School Variance Report For the Month Ended July 31 Actual Planning Results Budget Variances Lessons 220 215 Revenue $ 56,890 $ 55,98 $ 990 F Expenses: Instructor wages 16,315 16, 125 198 U Aircraft depreciation 7,260 7,895 165 U Fuel 4,230 3,440 598 U Maintenance 3,780 3,598 199 U Ground facility expenses 2,190 2,245 55 F Administration 3,675 3,799 115 F Total expense 37,250 36,285 965 U Net operating income $ 19,640 $ 19,615 $ 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 g is the number of lessons sold: Revenue Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration Cost Formulas $2684 $759 $339 $169 $588 + $149 $1,600 + $39 $3,360 + $24 Required: 2 Complete the flexible budget performance report for the school for July. (Indicate the effect of each verlance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (I.e., zero varlance). Input all amounts as positive values.) TipTop Flight School Flexible Budget Performance Report For the Month Ended July 31 Actual Results 220 Flexible Budget Planning Budget 215 Lessons Revenue $ 58,890 $ 55.900 16,315 16.125 Expenses: Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses 7,260 4,030 7,095 3,440 3,780 3,590 2.245 2,190 3,675 Administration 3,790 Total expense 37,250 $ 19,640 36,285 19,615 Net operating income $