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Lavage Rapide is a Canadian company that owns and operates a large automatic car wash facility near Montreal. The following table provides estimates concerning
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: Fixed Cost per Cost per Car Washed Month Cleaning supplies $ 0.60 Electricity $ 1,000 $ 0.08 Maintenance $ 0.25 Wages and salaries $ 4,600 $ 0.20 Depreciation $ 8,300 $ 2,100 $ 1,800 $ 0.01 Rent Administrative expenses For example, electricity costs should be $1,000 per month plus $0.08 per car washed. The company expects to wash 8,100 cars in August and to collect an average of $6.70 per car washed
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