VER TipTop Fight School offers flying lessons at a small municipal airport. The school's owner and manager has been empting to evaluate performance and control costs using a variance report that compares the planning budget to actual results. A recent variance report appears below Variance 225 00 Top Fight School Variance Report For the month deday 31 Ketua Resulta Lessons 240 Hevenue Expandex Instructor wagee Aircraft depreciation . Fuel 4,840 Maintenance 4,240 Ground facility expenses 2.810 Administration 4.280 Total expense 36,435 Net operating Incone 610, 625 11.750 1.225 4,230 4.125 2,875 4.340 39.545 $ 18.505 1150 1050 610 1150 65 T 60 T 390 U $ 120 T 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 als the number of lessons sold: Cost Formulas Revenue $2304 Instructor wages 5509 Aircraft depreciation $350 Puel $189 Maintenance $600 + $150 Ground facility expenses $1,700 + $59 Administration $3,400 + 549 Prey 1 of 6 Next > 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 ... 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 240 $ 55,050 Planning Budget 235 $ 54,050 Lessons Revenue Expenses Instructor wages Aircraft depreciation 11.865 11.750 8,400 8,225 Fuel Maintenance Ground facility expenses Administration Total expense Net operating income 4,840 4,240 2.810 4,280 36,435 4.230 4.125 2,875 4,340 35,545 $ 18,505 $ 18,625