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Lavage Rapide is a Canadian company that owns and operates a...

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Accounting

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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 per Month Car Washed Cleaning supplies $ 0.60 Electricity $ 1,3ee $ 0.10 Maintenance $ 0.10 Wages and salaries $ 4,800 $ 0.40 Depreciation $ 8,100 Rent $ 2,000 Administrative expenses $ 1,600 $ 0.03 For example, electricity costs should be $1,300 per month plus $0.10 per car washed. The company expects to wash 8,300 cars in August and to collect an average of $6.50 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 8,400 Revenue $ 56, ese Expenses: Cleaning supplies 5,480 Electricity 2,100 Maintenance 1,070 Wages and salaries 8,480 Depreciation 8,100 Rent 2,200 Administrative expenses Total expense 29,179 Net operating income $ 26,871 1,749 Required: Calculate the company's revenue and spending variances for August. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (le, zero variance). Input all amounts as positive values.)

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