Answer: C. $324 per year
Explanation:
Total number of miles driven per year is assumed to be 12000.
If Car 1 uses 30 miles per gallon on average with regular gas, then the number of gallons used for 12000 miles would be
12000/30 = 400 gallons
Regular gas will cost $2.25/gallon.
Cost of 400 gallons of regular gas would be
400 × 2.25 = $900
If Car 2 uses 25 miles per gallon on average with premium gas, then the number of gallons used for 12000 miles would be
12000/25 = 480 gallons
premium gas will cost $0.30/gallon more than regular gas. It means that cost of premium gas is
0.3 + 2.25 = $2.55/gallon
Cost of 480 gallons of premium gas would be
480 × 2.55 = $1224
The annual difference in gas cost for the two vehicles is
1224 - 900 = $324