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 Plexible Planning Results Budget Budget Flights (9) 56 56 54 Revenue ($345.00) $ 16,000 $19,320 $ 18,630 Expenses Wages and salaries ($3,200 + $85.004) 7,930 7,960 7,790 Puel ($31.009) 1,904 1,736 1,674 Airport teen ($850 + $33.009) 2,558 2,698 2,632 Aircraft depreciation ($9.009) 504 office expenses ($210 + $1.009) 266 264 Total expense 13,330 13,164 12,846 Net operating income $ 2,670 $ 6,156 $ 5,784 504 486 434 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 (l.e., zero variance). Input all amounts as positive values.)