www.compratic Exercise 9-12 (Algo) Revenue and Spending Variances [LO9-3] 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 company's costs: Fixed Cost per Month Coat per Car Washed $0.50 $ 0.08 Cleaning supplies Electricity $ 1,200 Maintenance $ 0.30 Wages and salaries $ 4,200 $ 0.40 Depreciation $ Rent Administrative expenses 8,200 $ 2,100 $1,400 $ 0.04 For example, electricity costs should be $1,200 per month plus $0.08 per car washed. The company expects to wash 8,100 cars in August and to collect an average of $6.30 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 8,200 Revenue $ 53,130 Expenses: Cleaning supplies 4,550 Electricity 1,818 Maintenance 2,670 Wages and salaries 7,800 Depreciation 8,200 Rent 2,300 Administrative expenses 1,624 Total expense 28,962