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 Flexible Planning Budget Budget 52 50 Flights (9) 52 $ 16,400 $ 17,940 $ 17,250 Revenue ($345.009) Expenses: Wages and salaries ($3,700 + $ 86.009) Fuel ($31.009) Airport fees ($860 + $34.009) Aircraft depreciation ($9.009) Office expenses ($220 + $1.009) Total expense Net operating income 468 8,140 8,172 8,000 1,780 1,612 1,550 2,493 2,628 2,560 468 450 440 272 270 13,321 13,152 12,830 $ 3,079 $ 4,788 $ 4,420 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 52 Actual Results Planning Budget Flights 52 50 Revenue $ 16,400 $ 17,940 $ 17,250 Expenses: Wages and salaries 8,140 8,172 8,000 Fuel 1,780 1,612 1,550 2,493 2,628 2,560 Airport fees Aircraft depreciation 468 468 450 Office expenses 440 272 270 Total expense 13,321 13,152 12,830 Net operating income $ 3,079 $ 4,788 $ 4,420 The Gourmand Cooking School runs short cooking courses at its small campus. Management has identified two cost drivers it uses in its budgeting and performance reportsthe number of courses and the total number of students. For example, the school might run two courses in a month and have a total of 63 students enrolled in those two courses. Data concerning the company's cost formulas appear below: Cost per Fixed Cost per Cost per Month Course $ 2,910 Student $ 260 $ 55 Instructor wages classroom supplies Utilities Campus rent Insurance Administrative expenses $1,240 $ 4,800 $2,200 $3,600 $ 43 $ 4 For example, administrative expenses should be $3,600 per month plus $43 per course plus $4 per student. The company's sales should average $900 per student. The company planned to run four courses with a total of 63 students; however, it actually ran four courses with a total of only 55 students. The actual operating results for September appear below: Revenue Instructor wages classroom supplies Utilities Campus rent Insurance Administrative expenses Actual $ 53,800 $ 10,920 $ 16,230 $ 1,870 $ 4,800 $ 2,340 $ 3,450 Prepare a flexible budget performance report that shows both revenue and spending variances and activity variances for September. (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.) Gourmand Cooking School Flexible Budget Performance Report For the Month Ended September 30 Actual Results Flexible Budget Planning Budget Courses 4 Students 55 Revenue $ 53,800 Expenses: Instructor wages Classroom supplies Utilities Campus rent 10,920 16,230 1,870 4,800 2,340 3,450 39,610 14,190 Insurance Administrative expenses Total expense . Net operating income $