Exercise 9-13 (Algo) Prepare a Flexible Budget Performance Report [LO9-4] Lavage Rapide is a Canadian company that owns and operates a large automatic car wash facility near Montreal. The following table provides estimates concerning the company's costs: Cost per Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Fixed Cost per Month Car Washed $ 0.60 $ 1,400 $ 0.08 $ 0.25 $ 4,700 $ 0.20 $ 8,400 $ 2,100 $ 1,400 $ 0.02 For example, electricity costs should be $1,400 per month plus $0.08 per car washed. The company expects to wash 8,300 cars in August and to collect an average of $6.10 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 8,400 Revenue $ 52,730 Expenses: Cleaning supplies 5,480 Electricity 2,034 Maintenance 2,315 Wages and salaries 6,720 Depreciation 8,400 Rent 2,300 Administrative expenses Total expense Net operating income $ 24,015 1,466 28,715 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 (.e., zero variance). Input all amounts as positive values.) 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 (i.e., zero variance). Input all amounts as positive values.) Lavage Rapide Flexible Budget Performance Report For the Month Ended August 31 Actual Results Flexible Budget Planning Budget Cars washed Revenue 8,400 52,730 $ 5.480 2.034 Expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent 2,315 6,720 8,400 2,300 1,466 Administrative expenses Total expense Net operating income 28,715 24,015 $