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) 58 58 56 Revenue ($355.00q) $ 16,500 $ 20,590 $ 19,880 Expenses: Wages and salaries ($3,200 + $88.00q) 8,268 8,304 8,128 Fuel ($31.00q) 1,966 1,798 1,736 Airport fees ($880 + $34.00q) 2,742 2,852 2,784 Aircraft depreciation ($11.00q) 638 638 616 Office expenses ($240 + $1.00q) 466 298 296 Total expense 14,080 13,890 13,560 Net operating income $ 2,420 $ 6,700 $ 6,320 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 58 58 56 $ 16,500 $ 20,590 I $ 19,880 Revenue Expenses: Wages and salaries Fuel Airport fees Aircraft depreciation Office expenses Total expense Net operating income 8,268 1,966 2,742 638 466 14,080 2,420 8,304 1,798 2,852 638 298 13,890 6,700 8,128 1,7361 2,7841 616 296 13,560 I $ 6,320