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Calculate the company's revenue and spending variances for August. Lavage Rapide is a Canadian company that owns and operates a large automatic car wash facility

image text in transcribedCalculate the company's revenue and spending variances for August.

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Lavage Rapide is a Canadian company that owns and operates a large automatic car wash facility near Montreal. The following table provides data concerning the company's costs: Fixed Cost per Month $ 1,100 Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Cost per Car Washed $ 0.80 $ 0.10 $ 0.25 $ 0.30 $ 4,000 $ 8,400 $ 1,800 $ 1,700 $ 0.02 For example, electricity costs are $1,100 per month plus $0.10 per car washed. The company expects to wash 8,400 cars in August and to collect an average of $6.30 per car washed. The actual operating results for August are as follows: Revenue Lavage Rapide Income Statement For the Month Ended August 31 Actual cars washed 8,500 $ 55,020 Expenses: Cleaning supplies 7,220 Electricity 1,910 Maintenance 2,340 Wages and salaries Depreciation 8,400 Rent 2,000 Administrative expenses 1,768 Total expense 30,518 Net operating income $ 24,502 6,880 Required: Calculate the company's revenue and spending variances for August. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values. Do not round intermediate calculations.) Lavage Rapide Revenue and Spending Variances For the Month Ended August 31 $ 2,100F Revenue Expenses: U Cleaning supplies Electricity 30 F Maintenance U Wages and salaries Depreciation 0 None Rent 200U Administrative expenses F Total expense U Net operating income F

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