Lavage Rapide is a Canadian company that owns and operates a large automatic car wash facility near Montreal. The following table provides estimates concerning the company's costs: Fixed Cost Cost per Car per Ponth Hashed cleaning supplies Electricity "aint enance $0.50 $ 0.00 $ 8.25 $ 0.30 $ 1,180 Hages and salaries Depreciat ion $ 4,3e $ 8,400 $ 1,900 $ 1,50 Rent Administrative expenses $ 8.84 For example, electricity costs should be $1,100 per month plus $0.09 per car washed. The company expects to wash 8,400 cars In August andto collect an averane of $5 90 carwached

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Lavage Rapide Is a Canadlan company that owns and operates a large automatic car wash facility near Montreal. The following table
provides estimates concerning the company's costs:
Fixed Cost Cost per Car
per Month
kashed
cleaning supplies
Electricit y
Maint enance
$ 0.50
$ 1,190
$0.09
$0.25
Hages and salaries
Depreciation
$ 4,300
$ 8,400
$ 1,980
$ 1,580
$ 0.30
Rent
Administrative expenses
$ 0.84
For example, electricity costs should be $1,100 per month plus $0.09 per car washed. The company expects towash 8,400 cars In
August andto collect an average of $5.90 per car washed.
The actual operating results for August are as follows:
Lavage Rapide
Income statement
For the Month Ended August 31
Actual cars washed
8,599
Revenue
$ 51,669
Expenses:
cleaning supplies
Electricit y
4, 780
1,826
MBintenance
2,340
kages and salaries
7,69
Depreciation
8,400
Rent
2,100
Administrative expenses
1,736
28,782
Total expensé
Net operating income
$ 22,878
Recqulred:
Calculate the company's revenue and spending varlances for August. (Indkate the effect of each varlance by selecting "F" tor
tavorable, "U" tor untavorable, and "None" for no ettect |(L.e., zero varlance). Input all amounts es positive values.)
Lavage Rapide
Revenue and Spending Variances
For the Month Ended August 31
Revenue
Expenses:
Cleaning supplies
Electricity
Maintenance
Wages and salaries
Depreciation
Rent
Administrative expenses
Total expense
Net operating income
Transcribed Image Text:Lavage Rapide Is a Canadlan company that owns and operates a large automatic car wash facility near Montreal. The following table provides estimates concerning the company's costs: Fixed Cost Cost per Car per Month kashed cleaning supplies Electricit y Maint enance $ 0.50 $ 1,190 $0.09 $0.25 Hages and salaries Depreciation $ 4,300 $ 8,400 $ 1,980 $ 1,580 $ 0.30 Rent Administrative expenses $ 0.84 For example, electricity costs should be $1,100 per month plus $0.09 per car washed. The company expects towash 8,400 cars In August andto collect an average of $5.90 per car washed. The actual operating results for August are as follows: Lavage Rapide Income statement For the Month Ended August 31 Actual cars washed 8,599 Revenue $ 51,669 Expenses: cleaning supplies Electricit y 4, 780 1,826 MBintenance 2,340 kages and salaries 7,69 Depreciation 8,400 Rent 2,100 Administrative expenses 1,736 28,782 Total expensé Net operating income $ 22,878 Recqulred: Calculate the company's revenue and spending varlances for August. (Indkate the effect of each varlance by selecting "F" tor tavorable, "U" tor untavorable, and "None" for no ettect |(L.e., zero varlance). Input all amounts es positive values.) Lavage Rapide Revenue and Spending Variances For the Month Ended August 31 Revenue Expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Total expense Net operating income
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