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 ($345.00q)	$ 16,200	$ 19,320	$ 18,630
Expenses:
Wages and salaries ($3,700 + $86.00q)	8,484	8,516	8,344
Fuel ($30.00q)	1,850	1,680	1,620
Airport fees ($850 + $35.00q)	2,680	2,810	2,740
Aircraft depreciation ($10.00q)	560	560	540
Office expenses ($230 + $1.00q)	454	286	284
Total expense	14,028	13,852	13,528
Net operating income	$ 2,172	$ 5,468	$ 5,102

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.)

Prepare a flexible budget performance report for July that includes revenue and spending variances and activity variances. (Indicate he effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input Il amounts as positive values.)