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(Solved): Magna Corporation uses trucks to transport bottles from the warehouse to different retail outlets. ...
Magna Corporation uses trucks to transport bottles from the warehouse to different retail outlets. Gasoline costs are \( \$ 0.18 \) per mile driven. Insurance costs are \( \$ 6,000 \) per year. Calculate the total costs and the cost per mile for gasoline and insurance if the truck is driven (a) 22,000 miles per year or (b) 29,000 miles per year. (Round the cost per mile to the nearest cent, \$X.XX.)
Compute the missing amounts. (Round per unit values to the nearest cent.)
Question1: (a)Driven 22,000 miles (b) Driven 29,000 miles Total Costs $9,960(22,000*0.18+6,000) $11,220(29,000*0.18+6,000) Cost per mile $0.45($9,960/22,000) $0.38($11,220/29,000) Total Cost for 22,000 miles=( (22,000*Gasoline Cost)+Insurance Cost) G