Solution:
Given:
To get the fixed reservation rate and the charge per hour, we find the equation in the form of the equation of a line.
The equation of a line is of the form,
Hence, we develop the equations for both bills and then solve for the unknowns.
Solving equation (1) and (2) simultaneously by elimination method;
Since the constants are known, we can deduce that;
Therefore,
The fixed reservation rate is $100
The charge per hour is $20
The equation of the line that represents the company's fixed reservation rate and charge per hour will be;
Hence, the equation is;