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 (q) Revenue ($355.009) Expenses: Wages and salaries ($3,700 + $91.009) Fuel ($30.009) Airport fees ($820 + $33.009) Aircraft depreciation ($9.009) Office expenses ($220 + $1.009) Total expense Net operating income Actual Results Flexible Budget Planning Budget 59 59 57 $ 16,400 $ 20,945 $ 20,235 9,027 9,069 8,887 1,940 1,770 1,710 2,662 2,767 2,701 531 531 513 447 14,607 279 14,416 277 14,088 $ 1,793 $ 6,529 $ 6,147 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.) Flights Revenue Actual Results 59 $ 16,400 Vulcan Flyovers Flexible Budget Performance Report For the Month Ended July 31 Flexible Budget Planning Budget 59 57 $ 20,945 $ 20,235 Expenses: Wages and salaries 9,027 9,069 8,887 Fuel 1,940 1,770 1,710 Airport fees 2,662 2,767 2,701 Aircraft depreciation 531 531 513 Office expenses 447 279 277 Total expense 14,607 14,416 14,088 Net operating income $ 1,793 $ 6,529 $ 6,147