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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

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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 Tight School Variance Report For the Month Unded July 31 Actual Planning Results budget Variances Lessons 220 215 Nevenue $ 56,890 $ 55,900 $990 Expenses Instructor wages 16,315 16,125 190 Alroraft depreciation 7.260 7,095 1650 Fuel 4,030 3,440 590 U Maintenance 3,780 3,590 190 U Ground facility expenses 2,190 2,245 55 Administration 3,675 3,790 115 F Total expense 37,250 36,285 965 U Het operating income $ 19,640 $ 19,615 5 25 ferences 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 is the number of lessons sold: NY WUNT Login LLE Backboard Microsoft Office H... Mail - Ranveer Sin... Connect - Class: Money & Banking ter 9 & 10 Saved Help 1 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 vorlance. The planning budget was developed using the following formules, where is the number of lessons sold: Cost Formulas Book Revenue Instructor wages Aireraft depreciation Tual Maintenance Ground facility expenses Administration $2600 $750 $33 $169 $580 + 5149 $1,600 - 13 $3,360 - $29 Print erences Required: 2. Complete the flexible budget performance report for the school for July, (Indicate the effect of each variance by selecting "P" for favorable, "U" for unfavorable, and "None" for no effect (l.e., zero variance). Input all amounts as positive values.) Tip Top Flight School Flexible Budget Performance Report For the Month Ended July 31 Actual Results 220 Flexible Budget Planning Budget 215 Lessons Revenue $ 55.900 $ 58,890 1 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 "Mone" for no effect (le, zero variance). Input all amounts as positive values.) 0 BOOK Tip Top Flight School Flexible Budget Performance Report For the Month Ended July 31 Actual Results 220 Flexible Budget References Lessons Planning Budget 215 + $ 56,890 $ 55.900 Revenue Expenses Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration Total expense Net operating income 16.125 7.095 3,440 3.590 16,315 7.260 4.030 3,780 2.190 3,675 37.250 $ 19,6401 2.245 3.790 36,285 $ 19.615

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