Final answer:
The required cost share amount for a project with agency funds of $1,500,000 and a 20% cost share requirement is $375,000, which is option (b).
Step-by-step explanation:
The question posed relates to the calculation of the required cost share amount for a project based on a given total project cost and a specified percentage for cost sharing. If the U.S. Department of Energy grants agency funds totaling $1,500,000 and requires a 20% cost share on the Total Project Costs, the calculation is as follows:
Total Project Cost = Agency Funds + Required Cost Share
100% of Total Project Cost = Agency Funds (which is 80% of Total Project Cost because the remaining 20% is the required cost share)
Thus, $1,500,000 is 80% of the Total Project Cost.
To find the Total Project Cost (100%), we calculate:
Total Project Cost = Agency Funds / 0.80
Total Project Cost = $1,500,000 / 0.80
Total Project Cost = $1,875,000
The Required Cost Share Amount is 20% of the Total Project Cost:
Required Cost Share Amount = Total Project Cost × 0.20
Required Cost Share Amount = $1,875,000 × 0.20
Required Cost Share Amount = $375,000
Therefore, the correct answer is (b) $375,000.