Roye Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During September, Kennel budgeted for 3,200 tenant-days, but its actual level of activity was 3,250 tenant-days. Kennel has provided the following data concerning the formulas used in its budgeting and its actual results for September:

Data used in budgeting:

	Fixed element per month	Variable element per tenant-day
Revenue	—	$34.10
Wages and salaries	$2,100	$7.10
Expendables	1,100	13.60
Facility expenses	7,600	2.60
Administrative expenses	6,100	0.20
Total expenses	$16,900	$23.50

Actual results for September:

Revenue	$107,351
Wages and salaries	$28,510
Expendables	$46,025
Facility expenses	$15,500
Administrative expenses	$7,091

The revenue variance for September would be closest to:

	$1,769 F
	$1,769 U
→	$3,474 U

Flexible budget ($34.10 × 3,250)	$ 110,825
Actual results	107,351
Revenue variance	$ 3,474

Because the actual revenue is less than the flexible budget, the variance is unfavorable (U).