Vulcan Flyovers offers scenic overflights of Mount St. 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 Actual Results 62 Flexible Planning Budget Budget 62 60 Flights (9) $ 16,300 $ 22,010 $ 21,300 Revenue ($355.009) Expenses: Wages and salaries ($3,100 + $90.009) Fuel ($33.009) Airport fees ($810 + $32.009) Aircraft depreciation ($9.009) office expenses ($220 + $1.009) Total expense Net operating income 8,640 8,680 8,500 2,210 2,046 1,980 2,694 2,794 2,730 558 558 540 450 282 280 14,552 14,360 14,030 $ 1,748 $ 7,650 $ 7,270 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.) Vulcan Flyovers Flexible Budget Performance Report For the Month Ended July 31 Flexible Budget Actual Results Planning Budget Flights 62 62 60 Revenue $ 16,300 $ 22,010 $ 21,300 Expenses: Wages and salaries 8,640 8,680 8,500 Fuel 2,210 2,046 1,980 Airport fees 2,694 2,794 2,730 Aircraft depreciation 558 558 540 Office expenses 450 282 280 Total expense 14,552 14,360 14,030 Net operating income 1,748 $ 7,650 $ 7,270