Exercise 9-8 (Algo) Flexible Budget [LO9-1] 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 company's costs: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Fixed Cost Cost per Car per Month Washed $ 0.50 $ 1,200 $ 0.06 $ 0.25 $ 4,800 $ 0.40 $ 8,400 $ 2,000 $1,600 $ 0.02 For example, electricity costs are $1,200 per month plus $0.06 per car washed. The company actually washed 8,200 cars in August and collected an average of $6.20 per car washed. Required: Prepare the company's 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 0 Net operating income $ 0

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Chapter1: Financial Statements And Business Decisions
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Exercise 9-8 (Algo) Flexible Budget [LO9-1]
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 company's costs:
Cleaning supplies
Electricity
Maintenance
Wages and salaries
Depreciation
Rent
Administrative expenses
Fixed Cost Cost per Car
per Month
Washed
$ 0.50
$ 1,200
$ 0.06
$ 0.25
$ 4,800
$ 0.40
$ 8,400
$ 2,000
$1,600
$ 0.02
For example, electricity costs are $1,200 per month plus $0.06 per car washed. The company actually washed 8,200 cars in August
and collected an average of $6.20 per car washed.
Required:
Prepare the company's 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
0
Net operating income
$
0
Transcribed Image Text:Exercise 9-8 (Algo) Flexible Budget [LO9-1] 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 company's costs: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Fixed Cost Cost per Car per Month Washed $ 0.50 $ 1,200 $ 0.06 $ 0.25 $ 4,800 $ 0.40 $ 8,400 $ 2,000 $1,600 $ 0.02 For example, electricity costs are $1,200 per month plus $0.06 per car washed. The company actually washed 8,200 cars in August and collected an average of $6.20 per car washed. Required: Prepare the company's 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 0 Net operating income $ 0
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