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: Fixed Cost per Month Cleaning supplies Cost per Car Washed $0.60 Electricity Maintenance $ 1,720 0.10 0.30 Wages and salaries Depreciation 5,000 0.40 8,600 Rent 2,400 Administrative expenses 2,130 0.08 For example, electricity costs are $1,720 per month plus $0.10 per car washed. The company expects to wash 8,300 cars in October and to collect an average of $6.20 per car washed. Auto Lavage's actual level of activity was 8,400 cars. The actual revenues and expenses for October are given below: Auto Lavage Income Statement For the Month Ended October 31 Actual cars washed Sales 8,400 $55,600 Variable expenses: Cleaning supplies 5,250 Electricity 890 Maintenance 2,290 Wages and salaries 3,702 Administrative 756 Fixed expenses: Electricity 1,780 Wages and salaries 5,000 Depreciation 8,600 Rent 2,400 Administrative 2,045 Total expense 32,713 Net operating income $22,887 Required: .Prepare a flexible budget performance report for October. (Indicate the effect of each variance by selecting "F" for favourable, "U" or unfavourable, and "None" for no effect (i.e., zero variance).) Variable Expenses: Total variable expenses AUTO LAVAGE INC. Flexible Budget Performance Report For the Month Ended October 31 Cost Formula Actual (per car) Flexible Budget Flexible Budget Variance Fixed expenses: Total fixed expenses 2. Prepare a comprehensive performance report for October. Assume that the static budget for October was based on an activity level of 8,300 cars. (Indicate the effect of each variance by selecting "F" for favourable, "U" for unfavourable, and "None" for no effect i.e., zero variance).) Number of cars Variable Expenses: Total variable expenses Fixed expenses: Total fixed expenses AVAGE Comprehensive Performance Report For the Month Ended October 31 Actual 8,400 Flexible Budget Variance Flexible Sales Volume Budget Variance Static Budget 8,400 8,300