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 Budget Planning Budget Flights (q) 58 58 56 Revenue ($360.00q) $ 16,000 $ 20,880 $ 20,160 Expenses: Wages and salaries ($3,300 + $91.00q) 8,536 8,578 8,396 Fuel ($34.00q) 2,134 1,972 1,904 Airport fees ($820 + $34.00q) 2,667 2,792 2,724 Aircraft depreciation ($11.00q) 638 638 616 Office expenses ($210 + $1.00q) 436 268 266 Total expense 14,411 14,248 13,906 Net operating income $ 1,589 $ 6,632 $ 6,254 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.)