Exercise 9-11 (Algo) Flexible Budget (L09-1] 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 company's costs: Fixed Cost per Month Cost per Car Washed $ 0.60 $ 0.09 $ 0.10 $ 0.40 $1,400 Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses $ 4,300 $8,300 $2,000 $1,300 $ 0.05 For example, electricity costs are $1.400 per month plus $0.09 per car washed. The company actually washed 8.200 cars in August and collected an average of $6,50 per car washed, For example, electricity costs are $1.400 per month plus $0.09 per car washed. The company actually washed 8.200 cars in August and collected an average of $6,50 per car washed. Required: Prepare the company's flexible budget for August Lavage Rapide Flexible Budget For the Month Ended August 31 Actual cars washed Revenue Expenses Cleaning supplies Electricity Maintenance Wages and salanes Depreciation Rent Administrative expenses Total expense Not operating income 0 0 Exercise 9-13 (Algo) Revenue and Spending Variances (L09-3] 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 Cost per per Month Car Washed Cleaning supplies $0.70 Electricity $1,400 $0.05 Maintenance $0.10 Wages and salaries $4,800 $0.20 Depreciation $3,200 Rent $1,00 Administrative expenses $1,500 50.02 For example, electricity costs are $1.400 per month plus $0.05 per car washed. The company expects to wash 8.400 cars in August and to collect an average of $6.00 per car washed. The actual operating results for August are as follows: Lavage Rapide Income Statement For the Month Ended August 31 Actual cars washed 8,500 Revenue $ 52,500 Expenses: Cleaning supplies 6,350 Electricity 1,790 Maintenance 1,000 Wages and salaries 6,840 Depreciation Hent 2.000 Administrative expenses 1.568 Total expense 27,858 Net operating income $ 24,642 8,200 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.) Lavage Rapide Revenue and Spending Variances For the Month Ended August 31 Revenue Expenses Cleaning Supplies Electricity Maintenance Wages and salanes Depreciation Rent Administrative expenses Total expense Net operating income Exercise 9-14 (Algo) Prepare a Flexible Budget Performance Report (L09-4) 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 Cost per per Month Car Washed Cleaning supplies $0.70 Electricity $1,500 $0.05 Maintenance 50.20 Wares and salaries $5,000 50.20 Depreciation $8,400 Rent $1,900 Administrative expenses $1,600 30.01 For example, electricity costs are $1,500 per month plus $0.05 per car washed. The company expects to wash 8,500 cars in August and to collect an average of $6.30 per car washed The actual operating results for August are as follows: Lavage Hapide Income Statement For the Month Ended August 31 Actual cars washed Revenue $ 55,650 Expenses Cleaning supplies 5,450 Electricity 1.595 Maintenance 1.900 Wages and salaries 7,060 Depreciation #3.400 Rent 2.100 Administrative expenses 1.505 Total expense Net operating income 5.26.220 Required: Prepare a flexible budget performance report that shows the company's revenue and spending variances and activity variances for August. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (1,e., zero variance). Input all amounts as positive values.) Lavage Rapide Flexible Budget Performance Report For the Month Ended August 31 Actual Flexible Results Budget 8 600 Planning Budget Cars washed 5 55,650 Revenue Expenses Cleaning supplies Electricity Maintenance Wages and salanes Depreciation Ront Administrative expenses Total expenso Not operating income 6.450 1.895 1.940 7,060 8.400 2100 1,585 29.430 20 220 s DIE Next