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 companys costs:

Fixed Cost per Month Cost per Car Washed

Cleaning supplies $ 0.60

Electricity $ 1,200 $ 0.07

Maintenance $ 0.15

Wages and salaries $ 4,500 $ 0.30

Depreciation $ 8,500

Rent $ 1,900

Administrative expenses $ 1,400 $ 0.03

For example, electricity costs are $1,200 per month plus $0.07 per car washed. The company expects to wash 8,200 cars in August and to collect an average of $6.80 per car washed.

The actual operating results for August appear below. Lavage Rapide Income Statement For the Month Ended August 31 Actual cars washed 8,300 Revenue $ 57,860 Expenses: Cleaning supplies 5,420 Electricity 1,744 Maintenance 1,470 Wages and salaries 7,320 Depreciation 8,500 Rent 2,100 Administrative expenses 1,546 Total expense 28,100 Net operating income $ 29,760

Required:

Prepare a flexible budget performance report that shows the companys 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 (i.e., zero variance). Input all amounts as positive values.)

Lavage Rapide Flexible Budget Performance Report For the Month Ended August 31 Actual Flexible Results Budget 8,300 Planning Budget Cars washed Revenue $ 57,860 Expenses: 5,420 Cleaning supplies Electricity Maintenance 1,744 1,470 7,320 Wages and salaries Depreciation 8,500 Rent 2,100 Administrative expenses 1,546 28,100 Total expense Net operating income $ 29,760