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)		54		54		52
Revenue ($360.00q)	$	16,100	$	19,440	$	18,720
Expenses:
Wages and salaries ($3,800 + $88.00q)		8,516		8,552		8,376
Fuel ($32.00q)		1,894		1,728		1,664
Airport fees ($810 + $32.00q)		2,413		2,538		2,474
Aircraft depreciation ($9.00q)		486		486		468
Office expenses ($200 + $1.00q)		422		254		252
Total expense		13,731		13,558		13,234
Net operating income	$	2,369	$	5,882	$	5,486

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 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 54 54 52 Flights (9) $ 16,100 $ 19,440 $ 18,720 Revenue ($360.08) Expenses : Wages and salaries ($3,800 + $88.00) Fuel ($32.00) Airport fees ($810 + $32.089) Aircraft depreciation ($9.00) Office expenses ($200 + $1.00q) Total expense Net operating income 8,516 8,552 8,376 1,894 1,728 1,664 2,413 2,538 2,474 486 486 468 422 254 252 13,731 13,558 13, 234 $ 2,369 $ 5,882 $ 5,486 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 54 54 52 Revenue $ 16,100 $ 19,440 $ 18,720 8,516 8,552 8,376 1,894 1,728 1,664 2,474 2,413 2,538 Expenses: Wages and salaries Fuel Airport fees Aircraft depreciation Office expenses Total expense Net operating income 486 486 468 422 252 13,731 254 13,558 5,882 13,234 5,486 $ 2,369 $ $