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) 62 62 60 Revenue ($350.00q) $ 16,400 $ 21,700 $ 21,000 Expenses: Wages and salaries ($3,000 + $88.00q) 8,420 8,456 8,280 Fuel ($31.00q) 2,090 1,922 1,860 Airport fees ($850 + $34.00q) 2,808 2,958 2,890 Aircraft depreciation ($8.00q) 496 496 480 Office expenses ($240 + $1.00q) 470 302 300 Total expense 14,284 14,134 13,810 Net operating income $ 2,116 $ 7,566 $ 7,190 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. Note: 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.