TipTop Flight School Variance Report For the Month Ended July 31 Actual Results Variances Planning Budget 22e $ 59,400 225 $ 60,400 $ 1,800 F Lessons Revenue Expenses : Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration Total expense Net operating income 17,800 7,650 4,340 3,650 2,470 3,960 39,870 $ 20,530 17,600 7,480 3,740 3,450 2,530 4,040 38,840 $ 20,560 200 u 170 600 U 200 u 60F Be F 1,30 U $ 30 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 a Is the number of lessons sold: Revenue Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration Cost Formulas $2789 $889 $349 $179 $598 + $139 $1,650 + $49 $3,380 + $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 (L.e., zero variance). Input all amounts as positive values.) TipTop Flight School Flexible Budget Performance Report For the Month Ended July 31 Actual Flexible Results Budget 225 Planning Budget 220 Lessons Revenue $ 60,400 s 59.400 Expenses: Instructor wages 17,800 17.600 Aircraft depreciation 7.650 7.480 Fuel 4,340 3,650 3.740 3.450 Maintenance Ground facility expenses Administration 2.470 2.530 3.980 4,040 Total expense 39,870 38.840 Net operating income $ 20,530 s 20.560