Variances $ 1,010 E TipTop Flight School Variance Report For the Month Ended July 31 Actual Planning Results Budget Lessons 240 235 Revenue $ 55,060 $ 54,050 Expenses: Instructor wages 11,865 11,750 Aircraft depreciation 8,400 8, 225 Fuel 4,840 4,230 Maintenance 4,240 4, 125 Ground facility expenses 2,810 2,675 Administration 4,280 4,340 Total expense 36, 435 35,545 Net operating income $ 18, 625 $ 18,505 115 U 175 U 610 U 115 U 65 F 60 E 890 U $ 120 E 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: Cost Formulas Revenue Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration $230 $509 $359 $18g $600 + $15g $1,700 + $59 $3,400 + $49 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 varlance). Input all amounts as positive values.) TipTop Flight School Flexible Budget Performance Report For the Month Ended July 31 Actual Flexible Results Budget 240 Planning Budget 235 Lessons Revenue $ 55,060 $ 54,050 11.865 11.750 Expenses: Instructor wages Aircraft depreciation Fuel 8,400 8,225 4,840 4,230 4,125 Maintenance Ground facility expenses Administration 4,240 2.810 4,280 2.875 4.340 35,545 $ 18,505 Total expense 36,435 $ 18,625 Net operating income