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 Flights (4) Revenue ($340.004) Expenses: Wages and salaries ($3,400 +$86.009) Fuel ($32.00q) Airport fees ($810 +$34.00q) Aircraft depreciation ($8.009) Office expenses ($200 + $1.000) Total expense Net operating income Actual Results Flexible Budget Planning Budget 55 $16,400 55 $18,700 53 $ 18,020 8,098 8,130 7,958 1,926 1,760 1,696 2,535 2,680 2,612 440 440 424 423 13,422 255 253 13,265 12,943 $ 2,978 $ 5,435 $5,077 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 (ie., zero varlance). Input all amounts as positive values.) Vulcan Flyovers Flexible Budget Performance Report For the Month Ended July 31 Flexible Actual Results Budget Planning Budget Flights 55 55 53 Revenue 16,400 18,700 $ 18,020 Expenses: Wages and salaries 8,098 8,130 7,958 Fuel 1,926 1,760 1,696 Airport fees 2,535 2,680 2,612 Aircraft depreciation 440 440 424 423 255 253 Office expenses Total expense 13,422 13,265 12,943 Net operating Income S 2,978 5,435 $ 5,077