Vulcan Flyovers offers scenic overflights of Mount Saint Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the companys operations in July appear below: Vulcan Flyovers Operating Data For the Month Ended July 31 Actual Results Flexible Budget Planning Budget Flights (q) 56 56 54 Revenue ($350.00q) $ 16,400 $ 19,600 $ 18,900 Expenses: Wages and salaries ($3,300 + $90.00q) 8,300 8,340 8,160 Fuel ($32.00q) 1,958 1,792 1,728 Airport fees ($890 + $34.00q) 2,689 2,794 2,726 Aircraft depreciation ($10.00q) 560 560 540 Office expenses ($240 + $1.00q) 464 296 294 Total expense 13,971 13,782 13,448 Net operating income $ 2,429 $ 5,818 $ 5,452 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.)