Lavage Rapide is a Canadian company that owns and operates a large automatic carwash facility near Montreal. The following table provides data concerning the companys costs:

Fixed Cost per Month

Cost per Car Washed

Cleaning supplies				$	0.70
Electricity	$	1,200		$	0.05
Maintenance				$	0.20
Wages and salaries	$	4,400		$	0.30
Depreciation	$	8,200
Rent	$	2,200
Administrative expenses	$	1,500		$	0.03

For example, electricity costs are $1,200 per month plus $0.05 per car washed. The company expected to wash 8,400 cars in August and to collect an average of $6.70 per car washed.

The actual operating results for August appear below.

Lavage Rapide Income Statement For the Month Ended August 31
Actual cars washed		8,500
Revenue	$	58,380
Expenses:
Cleaning supplies		6,380
Electricity		1,590
Maintenance		1,920
Wages and salaries		7,280
Depreciation		8,200
Rent		2,400
Administrative expenses		1,652
Total expense		29,422
Net operating income	$	28,958

Required:

Compute 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 is a Canadian company that owns and operates a large automatic carwash facility near Montreal. The following table provides data concerning the companys costs:

Fixed Cost per Month

Cost per Car Washed

Cleaning supplies				$	0.70
Electricity	$	1,200		$	0.05
Maintenance				$	0.20
Wages and salaries	$	4,400		$	0.30
Depreciation	$	8,200
Rent	$	2,200
Administrative expenses	$	1,500		$	0.03

For example, electricity costs are $1,200 per month plus $0.05 per car washed. The company expected to wash 8,400 cars in August and to collect an average of $6.70 per car washed.

The actual operating results for August appear below.

Lavage Rapide Income Statement For the Month Ended August 31
Actual cars washed		8,500
Revenue	$	58,380
Expenses:
Cleaning supplies		6,380
Electricity		1,590
Maintenance		1,920
Wages and salaries		7,280
Depreciation		8,200
Rent		2,400
Administrative expenses		1,652
Total expense		29,422
Net operating income	$	28,958

Required:

Compute 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.)