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 Results 220 Planning Budget 215 Variances Lessons $ 59,130 $ 58,050 $1,080 F Revenue Expenses: Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration Total expense Net operating income 17,385 17,200 7,260 7,095 4,550 3,870 4,080 3,895 2,895 2,910 4,025 4,185 40,195 39, 155 $ 18,935 $ 18,895 185 U 165 U 680 U 185 U 15 F 160 F 1,040 U $ 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 qis the number of lessons sold: Revenue Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration Cost Formulas $2709 $809 $339 $189 $670 + $159 $2,050 + $49 $3,540 + $39 Required: 2. Complete the flexible budget performance report for the school for July (Indicate the effect of each varlance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (1.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 $ 59, 130 $ 58,050 $ 17,385 7,260 4,550 17,200 7,095 3,870 Revenue Expenses: Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration Total expense Net operating income 4,080 3,895 2,895 4,025 40,195 18,935 2,910 4,185 39, 155 18,895 $ $