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Flight Caf is a company that prepares in-flight meals for airlines in its kitchen located next to the local airport. The companys planning budget for July appears below:

Flight Caf Planning Budget For the Month Ended July 31
Budgeted meals (q)		24,000
Revenue ($4.00q)	$	96,000
Expenses:
Raw materials ($2.30q)		55,200
Wages and salaries ($6,400 + $0.20q)		11,200
Utilities ($2,000 + $0.05q)		3,200
Facility rent ($3,600)		3,600
Insurance ($2,700)		2,700
Miscellaneous ($500 + $0.10q)		2,900
Total expense		78,800
Net operating income	$	17,200

In July, 25,000 meals were actually served. The companys flexible budget for this level of activity appears below:

Flight Caf Flexible Budget For the Month Ended July 31
Budgeted meals (q)		25,000
Revenue ($4.00q)	$	100,000
Expenses:
Raw materials ($2.30q)		57,500
Wages and salaries ($6,400 + $0.20q)		11,400
Utilities ($2,000 + $0.05q)		3,250
Facility rent ($3,600)		3,600
Insurance ($2,700)		2,700
Miscellaneous ($500 + $0.10q)		3,000
Total expense		81,450
Net operating income	$	18,550

Required:
1.	Compute the companys activity variances for July. (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	?	F/NONE/U
Expenses:	-	-
Raw materials	?	F/NONE/U
Wages and salaries	?	F/NONE/U
Utilities	?	F/NONE/U
facility rent	?	F/NONE/U
insurance	?	F/NONE/U
Miscellaneous	?	F/NONE/U
Total expense	?	F/NONE/U
Net operating income	?	F/NONE/U

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