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		$ 0.50
Electricity	$ 1,000	$ 0.08
Maintenance		$ 0.15
Wages and salaries	$ 5,000	$ 0.30
Depreciation	$ 8,100
Rent	$ 2,100
Administrative expenses	$ 1,500	$ 0.04

For example, electricity costs are $1,000 per month plus $0.08 per car washed. The company actually washed 8,500 cars in August and collected an average of $6.20 per car washed.

Required:

Prepare the companys flexible budget for August.

Lavage Rapide Flexible Budget For the Month Ended August 31 Revenue

Expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Total expense Net operating income