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Exercise 9-16 (Algo) Flexible Budget Performance Report [L09-1, LOB-2, L09-3, LOB-4] AirQual Test Corporation provides onsite air quality testing services. The company has provided the following cost formulas and actual results for the month of February: Fixed Variable Actual Component Component Total for per Month per Job February Revenue S 276 S 35,890 Technician wages $ 8,300 $ 8,150 Mobile lab operating expenses $ 5,000 $ 34 $ 9,600 Office expenses $ 2,500 $ 3 $ 2,770 Advertising expenses $ 1,600 $ 1,670 Insurance $ 2,860 $ 2,860 Miscellaneous expenses $ 930 $ 2 $ 515 The company uses the number ofjobs as its measure of activity. For example, mobile lab operating expenses should be $5,000 plus $34 perjob, and the actual mobile lab operating expenses for February were $9,600. The company expected to work 140 jobs in February, but actually worked 150jobs. Required: Prepare a flexible budget performance report showing AirQuaI Test Corporation's revenue and spending variances and activity variances for February. (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.) Revenue Expenses: Technician wages Advertising expenses Insurance Miscellaneous expenses Total expense 2 Net operating income $ 10325 _-----_

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