Question

Ronald rents a car from Cheap Rent-a-Car for $25 plus $0.05 per mile. Dixon rents a car

from Great Cars for S40 plus $0.03 per mile. How many miles must they both drive for
their rental fees to be the same?

Answer 1

750 miles

Explanation:

Ronald

Rental fee = fixed cost + variable cost

= $25 + $0.05x

Where x = number of miles

Dixon

Rental fee = fixed cost + variable cost

= $40 + $0.03x

How many miles must they both drive for their rental fees to be the same?

Equate the two equations

$25 + $0.05x = $40 + $0.03x

Collect like terms

0.05x - 0.03x = 40 - 25

0.02x = 15

Divide both sides by 0.02

x = 15 / 0.02

= 750 miles