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		175			170
Revenue	$	36,640		$	35,700		$	940	F
Expenses:
Instructor wages		8,640			8,500			140	U
Aircraft depreciation		6,300			6,120			180	U
Fuel		2,410			1,870			540	U
Maintenance		2,030			1,890			140	U
Ground facility expenses		1,660			1,690			30	F
Administration		3,340			3,430			90	F
Total expense		24,380			23,500			880	U
Net operating income	$	12,260		$	12,200		$	60	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	$210q
Instructor wages	$50q
Aircraft depreciation	$36q
Fuel	$11q
Maintenance	$530 + $8q
Ground facility expenses	$1,350 + $2q
Administration	$3,260 + $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.)