Vulcan Flyovers offers scenic overflights of Mount Saint Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company's operations in July appear below. Vulcan Flyovers Operating Data For the Month Ended July 31 Actual Results Flexible Budget Planning Budget Flights (9) Revenue ($355.00) Expenses: Mages and salaries ($3,300 +$92.004) Fuel ($31.00q) Airport fees (5800 +$33.00) Aircraft depreciation ($11.00) office expenses ($220 +$1.004) Total expense Net operating income 56 56 54 $ 16,400 $ 19,880 $ 19,170 8,465 8,452 8,268 1,904 1,736 1,674 2,513 2,648 2,582 616 616 594 444 276 274 13,885 $ 2,515 13,728 $6,152 13,392 $5,778 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount. Required: 1. Prepare a flexible budget performance report for July that includes revenue and spending variances and activity variances. (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.) Answer is complete but not entirely correct. Vulcan Flyovers Flexible Budget Performance Report For the Month Ended July 31 Actual Revenue and Flexible Results Spending Variances Activity Variances Budget Planning Budget Flights 56 56 54 Revenue 16.400 S 3,480 U es 19.880 $ 710F S 19,170 Expenses Wages and salaries 8,408 32 F 8,452 172 U Fuel 1.904 168 U 1,736 62 U Airport fees 2.513 140 F 2.648 70 U Aircraft depreciation 616 0 None 616 22U Office expenses 444 168 U 276 2 U Total expense 13,885 164 U 13.728 328 U Net operating income 2.515 S 3,644 U 6.152 S 382 F 0000000 8.268 1,674 2,582 594 274 13,392 5,778