The Gourmand Cooking School runs short cooking courses at its small campus. Management has identified two cost drivers it uses in its budgeting and performance reports—the number of courses and the total number of students. For example, the school might run two courses in a month and have a total of 63 students enrolled in those two courses. Data concerning the company’s cost formulas appear below: Fixed Cost per Month Cost per Course Cost per
Student
Instructor wages $ 2,940
Classroom supplies $ 280
Utilities $ 1,230 $ 75
Campus rent $ 4,800
Insurance $ 2,000
Administrative expenses $ 3,700 $ 45 $ 4

For example, administrative expenses should be $3,700 per month plus $45 per course plus $4 per student. The company’s sales should average $880 per student.

The company planned to run four courses with a total of 63 students; however, it actually ran four courses with a total of only 53 students. The actual operating results for September appear below:

Actual
Revenue $ 52,540
Instructor wages $ 11,040
Classroom supplies $ 17,490
Utilities $ 1,940
Campus rent $ 4,800
Insurance $ 2,140
Administrative expenses $ 3,558

Required:

Prepare a flexible budget performance report that shows both revenue and spending variances and activity variances for September. (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.)