AirQual Test Corporation provides on-site air quality testing services. The company has provided the following cost formulas andactual results for the month of February:VariableFixedComponentper MonthComponentper Job$ 277ActualTotal forFebruary$ 27,720$ 8,350$ 8,370RevenueTechnician wages$ 8,500Mobile lab operating expenses$ 4,900$ 33Office expenses$ 2,400$2$ 2,470Advertising expenses$ 1,600$ 1,670Insurance$ 2,850$ 2,850Miscellaneous expenses$ 960$ 1$ 375The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $4,900 plus$33 per job, and the actual mobile lab operating expenses for February were $8,370. The company expected to work 110 jobs inFebruary, but actually worked 120 jobs.Required:Prepare a flexible budget performance report showing AirQual Test Corporation's revenue and spending variances and activityvariances for February. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for noeffect (i.e., zero variance). Input all amounts as positive values.) Required:Prepare a flexible budget performance report showing AirQual Test Corporation's revenue and spending variances and activityvariances for February. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for noeffect (i.e., zero variance). Input all amounts as positive values.)AirQual Test CorporationFlexible Budget Performance ReportFor the Month Ended February 28PlanningBudgetJobsRevenueExpenses:Technician wagesMobile lab operating expensesOffice expensesAdvertising expensesInsuranceMiscellaneous expensesTotal expenseNet operating incomeActualResults120$ 27,7208,3508,3702,4701,6702,85037524,0853,635$FlexibleBudget

Name: AirQual Test Corporation provides on-site air quality testing service
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: AirQual Test Corporation provides on-site air quality testing services. The company has provided the following cost formulas andactual results for the month of February:VariableFixedComponentper MonthComponentper Job$ 277ActualTotal forFebruary$ 27,