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 companys costs:

	Fixed Cost per Month			Cost per Car Washed
Cleaning supplies				$	0.60
Electricity	$	1,400		$	0.06
Maintenance				$	0.20
Wages and salaries	$	4,700		$	0.30
Depreciation	$	8,200
Rent	$	1,900
Administrative expenses	$	1,500		$	0.02

For example, electricity costs should be $1,400 per month plus $0.06 per car washed. The company expects to wash 8,400 cars in August and to collect an average of $6.80 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	$	59,220
Expenses:
Cleaning supplies		5,540
Electricity		1,874
Maintenance		1,920
Wages and salaries		7,580
Depreciation		8,200
Rent		2,100
Administrative expenses		1,568
Total expense		28,782
Net operating income	$	30,438

Required:

Prepare a flexible budget performance report that shows the companys 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 Revenue and Spending Variances Flexible Budget Activity Variances Planning Budget Cars washed 8,500 8,400 Revenue $ 59,220 $ 2,100 F $ 57,120 None Expenses: 5,540 500 U 5,040 Cleaning supplies Electricity 1,874 30 F 1,904 Maintenance 1,920 240 U 1,680 Wages and salaries 7,580 3600 7,220 Depreciation 8,200 O None 8,200 Rent 2,100 200 U 1,900 Administrative expenses 1,568 100 F 1,668 Total expense 28,782 1,170 U 27,612 Net operating income $ 30,438 $ 930 F $ 29,508