Auto Lavage is a Canadian company that owns and operates a large automatic carwash facility near Quebec. The following table provides data concerning the company's expected costs: Cost per Car Washed Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Fixed Cost per Month $2,600 $0.90 0.30 0.50 5,800 0.60 9,400 3,200 2,910 0.05 For example, electricity costs are $2,600 per month plus $0.30 per car washed. The company expects to wash 9,100 cars in October and to collect an average of $8.00 per car washed. Auto Lavage's actual level of activity was 9,200 cars. The actual revenues and expenses for October are given below: Auto Lavage Income Statement For the Month Ended October 31 Actual cars washed 9,200 $78,000 Sales Variable expenses Cleaning supplies 8,515 Electricity 2,022 Maintenance 4,350 Wages and salaries 5,860 Administrative 510 Fixed expenses Electricity 2,660 Wages and salaries 5,800 Depreciation 9,400 Rent 3,200 Administrative 2,845 45,962 $32,038 Total expense Net operating income Required: 1. Prepare a flexible budget performance report for October. (Indicate the effect of each variance by selecting "F" for favourable, "U" for unfavourable, and "None" for no effect (ie., zero variance).) Required: 1. Prepare a flexible budget performance report for October. (Indicate the effect of each variance by selecting "F" for favourable, "U" for unfavourable, and "None" for no effect (i.e., zero variance).) AUTO LAVAGE INC. Flexible Budget Performance Report For the Month Ended October 31 Variable Expenses: Total variable expenses Fixed expenses: Cost Formula (per car) Flexible Actual Budget Flexible Budget Variance 0.00 0 0 0 0 Total fixed expenses $ 0 $ 0 2. Prepare a comprehensive performance report for October. Assume that the static budget for October was based on an activity level of 9,100 cars. (Indicate the effect of each variance by selecting "F" for favourable, "U" for unfavourable, and "None" for no effect (i.e., zero variance).) AUTO LAVAGE INC. Comprehensive Performance Report For the Month Ended October 31 Flexible Budget Actual Number of cars 9,200 Variable Expenses: Variance Flexible Budget Sales Volume Variance Static Budget 9,200 9,100 Total variable expenses 0 0 0 0 0 Fixed expenses: 0 0 Total fixed expenses $ 0 0 $ 0