Fixed Cost Cost per Car Washed $ 0.70 $ 0.07 $ 0.15 $ 0.20 per Month Cleaning supplies Electricity Maintenance $ 1,100 Wages and salaries Depreciation Rent $ 4,800 $ 8,300 $ 1,900 $ 1,400 Administrative expenses $ 0.05 For example, electricity costs are $1,100 per month plus $0.07 per car washed. The company actually washed and collected an average of $6.40 per car washed. Required: Prepare the company's flexible budget for August. Lavage Rapide Flexible Budget For the Month Ended August 31 Actual cars washed Revenue Expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Fixed Cost Cost per Car
per Month
Washed
$ 0.70
$ 0.07
$ 0.15
$ 0.20
Cleaning supplies
Electricity
$ 1,100
Maintenance
$ 4,800
$ 8,300
$ 1,900
$ 1,400
Wages and salaries
Depreciation
Rent
Administrative expenses
$ 0.05
For example, electricity costs are $1,100 per month plus $0.07 per car washed. The company actually washed 8,600 cars in August
and collected an average of $6.40 per car washed.
Required:
Prepare the company's flexible budget for August.
Lavage Rapide
Flexible Budget
For the Month Ended August 31
Actual cars washed
Revenue
Expenses:
Cleaning supplies
Electricity
Maintenance
Wages and salaries
Depreciation
Rent
Administrative expenses
Transcribed Image Text:Fixed Cost Cost per Car per Month Washed $ 0.70 $ 0.07 $ 0.15 $ 0.20 Cleaning supplies Electricity $ 1,100 Maintenance $ 4,800 $ 8,300 $ 1,900 $ 1,400 Wages and salaries Depreciation Rent Administrative expenses $ 0.05 For example, electricity costs are $1,100 per month plus $0.07 per car washed. The company actually washed 8,600 cars in August and collected an average of $6.40 per car washed. Required: Prepare the company's flexible budget for August. Lavage Rapide Flexible Budget For the Month Ended August 31 Actual cars washed Revenue Expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses
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