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		$	0.06
Maintenance				$	0.25
Wages and salaries	$	4,300		$	0.30
Depreciation	$	8,200
Rent	$	2,200
Administrative expenses	$	1,600		$	0.04

For example, electricity costs are $1,000 per month plus $0.06 per car washed. The company expects to wash 8,000 cars in August and to collect an average of $6.70 per car washed. The company actually washed 8,100 cars in August.

Lavage Rapide Activity Variances For the Month Ended August 31 Revenue Expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Total expense Net operating income