AirQual Test Corporation provides on-site air quality testing services. The company has provided the following data concerning its operations:

The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $2,900 plus $35 per job, and the actual mobile lab operating expenses for February were $4,530.

The company expected to work 50 jobs in February, but actually worked 52 jobs.

Required:

Prepare a flexible budget performance report showing AirQual Test Corporation’s activity variances and revenue and spending variances for February.

Fixed Variable Actual Component Component Total for February per Month per Job $360 $18,950 Revenue Technician wages S6,450 $6,400 Mobile lab operating expenses $35 S2,900 $4,530 Office expenses $2,600 S2 $3,050 Advertising expenses $970 $995 Insurance $1,680 $1,680 Miscellaneous expenses $500 $3 $465