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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
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 costs: Fixed Cost per Month Cost per Car Washed $ 1,700 $0.60 0.10 0.30 0.40 Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses 5,000 8,600 2,400 2,100 0.08 The company expects to charge customers an average of $6.20 per car washed. Required: Prepare a flexible budget for October assuming either 9,500 or 10,500 cars are washed. Cars Washed Budgeted Amount Per Unit (per car) 9,500 10,500 Sales Variable expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative Total variable expenses 0.00 0 0 $ 0.00 0 0 Fixed expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative Total fixed expenses 0 0 $ 0 $ 0
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