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 companys costs: Fixed Cost per Month Cost per Car Washed Cleaning supplies $ 0.50 Electricity $ 1,300 $ 0.06 Maintenance $ 0.25 Wages and salaries $ 4,500 $ 0.30 Depreciation $ 8,300 Rent $ 2,200 Administrative expenses $ 1,500 $ 0.04 For example, electricity costs should be $1,300 per month plus $0.06 per car washed. The company expects to wash 8,500 cars in August and to collect an average of $6.40 per car washed. The actual operating results for August are as follows: Lavage Rapide Income Statement For the Month Ended August 31 Actual cars washed 8,600 Revenue $ 56,500 Expenses: Cleaning supplies 4,750 Electricity 1,780 Maintenance 2,365 Wages and salaries 7,410 Depreciation 8,300 Rent 2,400 Administrative expenses 1,740 Total expense 28,745 Net operating income $ 27,755 Required: Prepare a flexible budget performance report that shows the companys revenue and spending variances and activity variances for August