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 Flexible Planning Results Budget Budget Flights (9) 48 48 50 Revenue ($320.00) $13,650 $15,360 $ 16,000 Expenses: Wages and salaries ($4,000 + $82.009) 8,430 7,936 8,100 Fuel ($23.089) 1,260 1,104 1,150 Airport fees ($650 + $38.00) 2,350 2,474 2,550 Aircraft depreciation ($7.00) 336 336 350 Office expenses ($190 + $2.00) 460 286 290 Total expense 12,836 12,136 12,440 Net operating income 814 $ 3,224 $ 3,560 $ 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 48 Actual Results 48 Planning Budget 50 Flights $ 13,650 S 15,360 U $ 16,000 U 7,936 F 8,430 1,260 U 1,104 F Revenue Expenses: Wages and salaries Fuel Airport fees Aircraft depreciation Office expenses Total expense Net operating income 8,100 1,150 2,550 2.474 F 2,350 336 336 14 F 350 O None U 460 286 290 4F 304 F U 12,440 12,836 814 12,136 3,224 s $ U $ 336 U $ 3,560