Lavage Rapide owns and operates a large automatic car wash facility near Montreal. The following...

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Accounting

Lavage Rapide owns and operates a large automatic car wash facility near Montreal. The following table provides estimates concerning the companys costs:
Fixed Cost per Month Cost per Car Washed
Cleaning supplies $ 0.80
Electricity $ 1,200$ 0.15
Maintenance $ 0.20
Wages and salaries $ 5,000$ 0.30
Depreciation $ 6,000
Rent $ 8,000
Administrative expenses $ 4,000$ 0.10
For example, electricity costs should be $1,200per month plus $0.15per car washed. The company actually washed 8,800cars in August and collected an average of $4.90per car washed. Calculate the companys revenue and spending variances for August.

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