Flight café is a company that prepares in-flight meals for airlines in its kitchen located next to the local airport. the company’s planning budget for july appears below: flight café planning budget for the month ended july 31 budgeted meals (q) 27,000 revenue ($4.00q) $ 108,000 expenses: raw materials ($1.90q) 51,300 wages and salaries ($6,400 + $0.20q) 11,800 utilities ($2,100 + $0.05q) 3,450 facility rent ($3,100) 3,100 insurance ($2,300) 2,300 miscellaneous ($500 + $0.10q) 3,200 total expense 75,150 net operating income $ 32,850 in july, 28,000 meals were actually served. the company’s flexible budget for this level of activity appears below: flight café flexible budget for the month ended july 31 budgeted meals (q) 28,000 revenue ($4.00q) $ 112,000 expenses: raw materials ($1.90q) 53,200 wages and salaries ($6,400 + $0.20q) 12,000 utilities ($2,100 + $0.05q) 3,500 facility rent ($3,100) 3,100 insurance ($2,300) 2,300 miscellaneous ($500 + $0.10q) 3,300 total expense 77,400 net operating income $ 34,600 required: 1. compute the company’s activity variances for july.