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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 data concerning the
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 Cost Cost per Car Washed $0.60 $0.08 $0.10 $0.30 per Month Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses $1,500 $4,800 $8,300 $2,100 $1,500 $0.05 For example, electricity costs are $1,500 per month plus $0.08 per car washed. The company expects to wash 8,000 cars in August and to collect an average of $6.80 per car washed The actual operating results for August appear below
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