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)		59		59		57
Revenue ($345.00q)	$	16,400	$	20,355	$	19,665
Expenses:
Wages and salaries ($3,600 + $88.00q)		8,756		8,792		8,616
Fuel ($30.00q)		1,940		1,770		1,710
Airport fees ($820 + $33.00q)		2,647		2,767		2,701
Aircraft depreciation ($9.00q)		531		531		513
Office expenses ($240 + $1.00q)		467		299		297
Total expense		14,341		14,159		13,837
Net operating income	$	2,059	$	6,196	$	5,828

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.)

Exercise 9-4 (Algo) Prepare a Flexible Budget Performance Report [LO9-4] 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 59 59 57 Flights (9) $ 16,400 $20,355 $ 19,665 Revenue ($345.000) Expenses: Wages and salaries ($3,600 + $88.009) Fuel ($30.00) Airport fees ($820 + $33.00q) Aircraft depreciation ($9.00) Office expenses ($240 + $1.009) Total expense 8,756 8,792 8,616 1,940 1,770 1,710 2,647 2,767 2,701 531 531 513 467 299 297 14,341 14,159 13,837 $ 2,059 $ 6,196 $ 5,828 Net operating income 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 57 Flights 59 59 Revenue $ 16,400 $ 20,355 $ 19,665 Expenses: Wages and salaries 8,756 8,616 8,792 1,770 Fuel 1,940 1,710 Airport fees 2,647 2,767 2,701 Aircraft depreciation 531 531 513 Office expenses 467 299 297 Total expense 14,341 14, 159 13,837 Net operating income $ 2,059 $ 6,196 $ 5,828