Final answer:
The rate per kilowatt-hour of electricity used in Zhao's case is $0.075, after solving the provided equation by isolating the rate and dividing both sides by the total kWh used.
Step-by-step explanation:
To find the rate per kilowatt-hour of electricity used, we can solve the equation Zhao uses to represent his electric bill: 63.25 = 800r + 3.50.
First, we isolate the variable r (the rate) by subtracting the administrative fee from both sides of the equation:
63.25 - 3.50 = 800r
59.75 = 800r
Next, we divide both sides by 800 to solve for r:
59.75 / 800 = r
0.0746875 = r
When rounded to the nearest thousandth, the rate r is 0.075, which corresponds to option 2.