Question

Use the information given below, to compare the cost of operating two different vehicles for one month (4 weeks) You

are considering two different cars. You drive to work, a 20 mile round trip, five days a week. Gasoline costs you $1.50
per gallon
Car Agets 28 miles per gallon, would have $300 a year in maintenance costs, and would cost you $1,500 per year to
insure
Car B gets 19 miles per gallon, would have $500 a year in maintenance costs, and would cost you $1,000 per year to
insure
Costs
Car A
Car B
Gas cost per month
Insurance cost per month
Maintenance cost per month $
Total cost per month

Answer 1

Gas Cost Per Month: Car A $21.43, Car B $31.58

Insurance Cost Per Month: Car A $125, Car B $83.33

Maintenance Cost Per Month: Car A $25, Car B $41.67

Total Cost Per Month: Car A $171.43, Car B $156.58

Explanation:

Gas Cost Per Month:

It is a 20 mile round trip per day, so five days a week would be 100 miles. This means that you drive 400 miles to work in one month. So for Car A, 400/28 = 14.29 gallons. 14.29 gallons times $1.50 = $21.43 per month. For Car B, 400/19 = 21.05 gallons. 21.05 Gallons times $1.50 = $31.58 per month.

Insurance Cost Per Month:

Car A costs $1,500 to insure for one year. So if we take 1,500 and divide it by 12 we get $125 per month. Car B costs $1,000 to insure for one year. So taking 1,000 and dividing by 12 gives us roughly $83.33.

Maintenance Cost Per Month:

Car A costs $300 per year, so taking 300 and dividing by 12 gives us $25 per month. Car B costs $500 per year, so taking 500 and dividing by 12 gives us roughly $41.67 per month.

Total Cost Per Month:

Now all we need to do is add everything together. For Car A, we have $21.43 in gas, $125 in insurance, and $25 in maintenance. This gives a grand total of $171.43 per month. For Car B, we have $31.58 in gas, $83.33 in insurance, and $41.67 in maintenance, leaving a grand total of $156.58.

Hope this helps!