Vulcan Flyovers offers scenic overflights of Mount St. 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)		55		55		53
Revenue ($340.00q)	$	16,200	$	18,700	$	18,020
Expenses:
Wages and salaries ($3,100 + $91.00q)		8,063		8,105		7,923
Fuel ($32.00q)		1,926		1,760		1,696
Airport fees ($890 + $34.00q)		2,645		2,760		2,692
Aircraft depreciation ($9.00q)		495		495		477
Office expenses ($240 + $1.00q)		463		295		293
Total expense		13,592		13,415		13,081
Net operating income	$	2,608	$	5,285	$	4,939

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

Vulcan Flyovers Flexible Budget Performance Report For the Month Ended July 31 Flexible Budget Actual Results Planning Budget Flights 55 55 53 Revenue $ 16,200 $ 5,000 U $ 18,700 $ 18,020 Expenses: Wages and salaries 8,063 1,926 Fuel 7,923 1,696 2,692 None Airport fees Aircraft depreciation Office expenses Total expense Net operating income 477 8,105 1,760 2,760 495 295 13,415 5,285 2,645 495 463 13,592 2,608 293 13,081 4,939 $ U $ U $