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	165	160
Revenue	$ 40,930	$ 40,000	$ 930	F
Expenses:
Instructor wages	11,330	11,200	130	U
Aircraft depreciation	5,610	5,440	170	U
Fuel	2,450	1,920	530	U
Maintenance	2,090	1,960	130	U
Ground facility expenses	1,915	1,940	25	F
Administration	3,635	3,720	85	F
Total expense	27,030	26,180	850	U
Net operating income	$ 13,900	$ 13,820	$ 80	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
Revenue	$250q
Instructor wages	$70q
Aircraft depreciation	$34q
Fuel	$12q
Maintenance	$520 + $9q
Ground facility expenses	$1,300 + $4q
Administration	$3,240 + $3q

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.)