Required: Prepare the company's planning budget for August. Lavage Rapide Planning Budget For the Month...
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Required: Prepare the company's planning budget for August. Lavage Rapide Planning Budget For the Month Ended August 31 Revenue Expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses Total expense Net operating income 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 Cost per Car Washed $ 1,200 cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Administrative expenses $ 0.50 $ 0.06 $ 0.25 $ 0.30 $ 4,700 $ 8,100 $ 1,900 $ 1,500 $ 0.02 For example, electricity costs should be $1,200 per month plus $0.06 per car washed. The company expects to wash 8,300 cars in August and to collect an average of $6.30 per car washed. Required: Prepare the company's planning budget for August
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