ACCT640 - Chapter 10 - Homework
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Auto Lavage is a Canadian company that owns and operates a large automatic carwash facility near Quebec. The following table provides data concerning the company’s costs: |
| Fixed Cost per Month | Cost per Car Washed | ||||
| Cleaning supplies | $ | 0.70 | |||
| Electricity | $ | 1,400 | $ | 0.10 | |
| Maintenance | $ | 0.30 | |||
| Wages and salaries | $ | 4,700 | $ | 0.40 | |
| Depreciation | $ | 8,300 | |||
| Rent | $ | 2,100 | |||
| Administrative expenses | $ | 1,800 | $ | 0.05 | |
For example, electricity costs are $1,400 per month plus $0.10 per car washed. The company expects to wash 8,000 cars in October and to collect an average of $5.90 per car washed. |
| Required: |
Complete the company’s planning budget for October.
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13 years ago
