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Auto Lavage is a Canadian company that owns and operates a large automatic carwash facility...

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Accounting

Auto Lavage is a Canadian company that owns and operates a large automatic carwash facility near Quebec. The following table provides data concerning the companys costs:

Fixed Cost per Month Cost per Car Washed
Cleaning supplies $ 0.90
Electricity $ 2,000 0.30
Maintenance 0.50
Wages and salaries 5,300 0.60
Depreciation 8,900
Rent 2,700
Administrative expenses 2,400 0.04

The company expects to charge customers an average of $8.00 per car washed.

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