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 Coat per Month Car Washed Cleaning supplies 50.60 Electricity 51,200 50.03 ale 50.10 inges and anleria 54,600 50.40 Depreciation 58,00 52, Aistrative agence 51,700 50.05 For example, clectricity costs are $1,200 per month plus $0.07 per car washed. The company expects to wash 8,500 cars in August and to collect an average of $6.50 per car washed. The actual operating results for August appear below. Lavage Rapide Income Statement For the Month Eaded Ragant si B.DE 557.350 5, Rev Expensa: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Bent Administrative expenses Total expe Net operating incom 2.250 29,141 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 (Le., zero variance). Input all amounts as positive values.) Lavage Rapide Flexible Budget Performance Report For the Month Ended August 31 Actual Flexible Results Budget 8,000 Planning Budget Cars washed Revenue 5 57,350 5.000 1,766 1,090 8,360 Expenses Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Total exces Net operating income 2,200 2,025 29, 140 28,210 5 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 Coat per Month Car Washed Cleaning supplies 50.60 Electricity 51,200 50.03 ale 50.10 inges and anleria 54,600 50.40 Depreciation 58,00 52, Aistrative agence 51,700 50.05 For example, clectricity costs are $1,200 per month plus $0.07 per car washed. The company expects to wash 8,500 cars in August and to collect an average of $6.50 per car washed. The actual operating results for August appear below. Lavage Rapide Income Statement For the Month Eaded Ragant si B.DE 557.350 5, Rev Expensa: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Bent Administrative expenses Total expe Net operating incom 2.250 29,141 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 (Le., zero variance). Input all amounts as positive values.) Lavage Rapide Flexible Budget Performance Report For the Month Ended August 31 Actual Flexible Results Budget 8,000 Planning Budget Cars washed Revenue 5 57,350 5.000 1,766 1,090 8,360 Expenses Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Total exces Net operating income 2,200 2,025 29, 140 28,210 5
