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

$ 0.80

Electricity

$ 1,500

$ 0.08

Maintenance

$ 0.10

Wages and salaries

$ 4,700

$ 0.20

Depreciation

$ 8,100

Rent

$ 2,000

Administrative expenses

$ 1,800

$ 0.03

For example, electricity costs are $1,500 per month plus $0.08 per car washed. The company expects to wash 8,400 cars in August and to collect an average of $6.00 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

8,500

Revenue

$ 52,500

Expenses:

Cleaning supplies

7,220

Electricity

2,142

Maintenance

1,080

Wages and salaries

6,740

Depreciation

8,100

Rent

2,200

Administrative expenses

1,952

Total expense

29,434

Net operating income

$ 23,066

Required:

Calculate the company's revenue and spending variances for August.