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

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Lavage Rapide is a Canadian company that owns and operates a large automatic carwash facility near Montreal. The following table provides data concerning the company's costs Fixed Cost per Month Cost per Car Washed Cleaning supplies Electricity Maintenance Wages and salaries $0.60 0.07 0.30 0.30 $1,500 $4,200 $8,500 $2,200 $1,800 Rent Administrative expenses 0.02 For example, electricity costs are $1,500 per month plus $0.07 per car washed. The company expected to wash 8,300 cars in August and to collect an average of $6.60 per car washed. The company actually washed 8,400 cars. The actual operating results for August appear beloww Lavage Rapide Income Statement For the Month Ended August 31 Actual cars washed Revenue Expenses 8,400 S 56,880 5,480 2,051 2,730 7,050 8,500 2,400 1,866 30,077 S 26,803 Cleaning supplies Electricity Maintenance Wages and salaries Rent Administrative expenses Total expense Net operating income

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