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) 18,000 revenue ($4.50q) $ 81,000 expenses: raw materials ($2.40q) 43,200 wages and salaries ($5,200 + $0.30q) 10,600 utilities ($2,400 + $0.05q) 3,300 facility rent ($4,300) 4,300 insurance ($2,300) 2,300 miscellaneous ($680 + $0.10q) 2,480 total expense 66,180 net operating income $ 14,820 in july, 17,800 meals were actually served. the company's flexible budget for this level of activity appears below:

The business cycle is the periodic but irregular up-and-down movement in economic activity, measured by fluctuations in real gross domestic product (gdp) and other macroeconomic variables. a business cycle is typically characterized by four phases—recession, recovery, growth, and decline—that repeat themselves over time. economists note, however, that complete business cycles vary in length. the duration of business cycles can be anywhere from about two to twelve years, with most cycles averaging six years in length. some business analysts use the business cycle model and terminology to study and explain fluctuations in business inventory and other individual elements of corporate operations. but the term "business cycle" is still primarily associated with larger (industry-wide, regional, national, or even international) business trends.

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