TipTop Flight School offers flying lessons at a small municipal airport. The school's owner and manager attempted to evaluate performance and control costs using a variance report comparing the planning budget to actual results. A recent variance report appears below: Lessons Revenue Expenses: Instructor wages Aircraft depreciation Fuel Maintenance Ground facility expenses Administration Total expenses Net operating income TipTop Flight School Variance Report For the Month Ended July 31 Actual Results Planning Budget Variances 175 170 $ 36,640 $ 35,700 $ 940 F 8,640 8,500 140 U 6,300 6,120 180 U 2,410 1,870 540 U 2,030 1,890 140 U 1,660 1,690 30 F 3,340 3,430 90 F 24,380 23,500 880 U $ 12,260 $ 12,200 $ 60 F After several months of using these reports, the owner has become frustrated. For example, she is confident instructor wages were very tightly controlled in July, but the report shows an unfavorable variance. She developed the planning budget using the following formulas, where q is the number of lessons sold: Cost Formulas Revenue Instructor wages Aircraft depreciation Fuel Maintenance $210q $50q $36q $11q $530 + $8q Ground facility expenses Administration $1,350 + $2q $3,260 + $1q Required: 2. Complete the flexible budget performance report for the school for July. Note: 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.