Question: Lavage Rapide owns and operates a large automatic car wash facility near Montreal. The following table provides estimates concerning the company s costs: Fixed Cost

 
Lavage Rapide owns and operates a large automatic car wash facility near Montreal. The following table provides estimates concerning the companys costs:

Fixed Cost per Month Cost per Car Washed
Cleaning supplies $ 0.70
Electricity $ 1,500 $ 0.07
Maintenance $ 0.10
Wages and salaries $ 4,000 $ 0.40
Depreciation $ 8,400
Rent $ 2,100
Administrative expenses $ 1,700 $ 0.02
For example, electricity costs should be $1,500 per month plus $0.07 per car washed. The company expects to wash 8,200 cars in August and to collect an average of $6.40 per car washed.

Required:
Prepare the companys planning budget for August.

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