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Chec Exercise 9-13 Revenue and Spending Variances [LO9-3] Lavage Rapide is a Canadian company that owns and operates a large automatic car wash facility near
Chec Exercise 9-13 Revenue and Spending Variances [LO9-3] 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 Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Cost per Car Washed 0.40 $0.07 $0.25 $0.30 $1,300 $4,100 $8,100 $2,000 $1,500 $0.84 For example, electricity costs are $1,300 per month plus $0.07 per car washed. The company expects to wash 8.300 cars in August and to collect an average of $6.50 per car washed. The actual operating results for August appear below Lavage Rapide Income Statement For the Month Ended August 31 Actual cars washed 8,400 s 56.050 Revenue Evnencac. K Prev 6 of 6 N
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