Answer:
y= 48 + 0.1x
x= miles driven
Step-by-step explanation:
<u>We need to calculate the fixed and variable cost (per mile) of renting a car. To do that, we will use the high-low method:</u>
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (65 - 58) / (170 - 100)
Variable cost per unit= $0.1 per mile
Fixed costs= Highest activity cost - (Variable cost per unit * HAU)
Fixed costs= 65 - (0.1*170)
Fixed costs= $48
Fixed costs= LAC - (Variable cost per unit* LAU)
Fixed costs= 58 - (0.1*100)
Fixed costs= $48
y= 48 + 0.1x
x= miles driven
Let x = greater number
y = smaller number
(1)

(1)

(2)

We'll substitute y in (1) to (2)
(2)

x - 9 = 0 or x + 3 = 0
x = 9 x = -3
and
y = x - 6 y = x - 6
y = 9 - 6 y = -3 - 6
y = 3 y = -9
Therefore, the two numbers can be 9 and 3 or -3 and -9.
Answer: $770
Step-by-step explanation:
Number of units to be purchased by Alicia:
= 200,000 / 1,000
= 200 units
Alicia is purchasing a 5-year term life insurance policy. At age 30, the cost per $1,000 unit of insurance is $3.85 for a female.
The formula for the annual premium is:
= Number of units purchased * Premium per $1,000
= 200 * 3.85
= $770