Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 8,000 pounds of oysters in August. The company's flexible budget for August appears below:
Quilcene Oysteria
Flexible Budget
For the Month Ended August 31
Actual pounds (q) .............................................................. 8,000
Revenue ($4.00q) ........................................................... $32,000
Expenses:
Packing supplies ($0.50q) ............................................... 4,000
Oyster bed maintenance ($3,200) ................................... 3,200
Wages and salaries ($2,900  $0.30q) ............................5,300
Shipping ($0.80q) ............................................................6,400
Utilities ($830) .................................................................. 830
Other ($450  $0.05q) ...................................................... 850
Total expense ................................................................... 20,580
Net operating income .................................................... $11,420
The actual results for August appear below:
Quilcene Oysteria
Income Statement
For the Month Ended August 31
Actual pounds ................................................ 8,000
Revenue ...................................................... $35,200
Expenses:
Packing supplies .......................................... 4,200
Oyster bed maintenance ............................... 3,100
Wages and salaries ....................................... 5,640
Shipping ....................................................... 6,950
Utilities ............................................................ 810
Other .............................................................. 980
Total expense ........................................... 21,680
Net operating income ............................... $13,520
Required:
Prepare a report showing the company's revenue and spending variances for August.