Question

Last year, Ishiro Novato drove 21,986 miles and had these expenses: gas $1,187.25; maintenance and miscellaneous $118.80; parking and tolls $125.00; tires $300.00; wash and wax $75; insurance $614.80; license $34.90; and depreciation $1,780.00
Cost per Mile = Annual Variable Cost + Fixed Cost
Number of Miles Driven
it would mean a lot to me if someone would answer this for me

Answer 1

Answer:

  $0.187 per mile

Step-by-step explanation:

The sum of the expenses for the year is ...

  $1,187.25 +$118.80 +$300.00 +$75 +$614.80 +$34.90 +$1,780.00

  = $4110.75

Then the cost per mile is ...

  cost/miles = $4110.75 / 21986 ≈ $0.18697

The cost per mile is about $0.187, or 18.7¢ per mile.

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If you need whole cents, that's about $0.19 per mile.