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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 companys

Auto Lavage is a Canadian company that owns and operates a large automatic carwash facility near Quebec. The following table provides data concerning the companys costs:

Fixed Cost per Month Cost per Car Washed
Cleaning supplies $ 1.00
Electricity $ 2,300 0.40
Maintenance 0.60
Wages and salaries 5,600 0.70
Depreciation 9,200
Rent 3,000
Administrative expenses 2,700 0.07

The company expects to charge customers an average of $8.70 per car washed.

Required: Prepare a flexible budget for October assuming either 6,000 or 7,000 cars are washed.

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