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)		62		62		60
Revenue ($350.00q)	$	16,300	$	21,700	$	21,000
Expenses:
Wages and salaries ($3,600 + $87.00q)		8,960		8,994		8,820
Fuel ($33.00q)		2,210		2,046		1,980
Airport fees ($860 + $32.00q)		2,719		2,844		2,780
Aircraft depreciation ($9.00q)		558		558		540
Office expenses ($240 + $1.00q)		470		302		300
Total expense		14,917		14,744		14,420
Net operating income	$	1,383	$	6,956	$	6,580

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.

table 1 revenue and spending/activity variances

revenue

expenses

wages and salaries

fuel

airport fees

aircraft depreciation

office expenses

total expenses

net operating income