Exercise 9-10 Planning Budget [LO9-1]

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 companys costs:

	Fixed Cost per Month			Cost per Car Washed
Cleaning supplies				$	0.80
Electricity	$	1,300		$	0.09
Maintenance				$	0.25
Wages and salaries	$	4,900		$	0.20
Depreciation	$	8,400
Rent	$	2,000
Administrative expenses	$	1,400		$	0.04

For example, electricity costs are $1,300 per month plus $0.09 per car washed. The company expects to wash 8,300 cars in August and to collect an average of $6.50 per car washed.

Required:

Prepare the companys planning budget for August.