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 $0.80 $3,160 0.20 0.40 6,300 0.50 9,900 3,700 3,410 0.04 For example, electricity costs are $3,160 per month plus $0.20 per car washed. The company expects to wash 9,600 cars in October and to collect an average of $7.50 per car washed. Auto Lavage's actual level of activity was 9,700 cars. The actual revenues and expenses for October are given below: Auto Lavage Income Statement For the Month Ended October 31 Actual cars washed 9,700 Sales $76,400 Variable expenses: Cleaning supplies 8,350 Electricity 1,995 Maintenance 3,400 Wages and salaries 5,002 Administrative 480 Fixed expenses: Electricity 3,210 Wages and salaries 6,300 Depreciation 9,900 Rent 3,700 Administrative 3,345 Total expense 45,682 Net operating income $30,718