Question 898201
Plan A: Constant cost {{{C[A]=189.00(1+8/100)=204.12}}}
Plan B: Variable cost per mile {{{C[B]=59.99+0.45*M}}}
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Find the mileage for each plan at 300 miles.
Plan A : {{{C[A]=204.12}}}
Plan B : {{{C[B]=59.99+0.45*300=194.99}}}
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The difference in the plan is,
{{{204.12-194.99=9.13}}}
For this small difference, it's probably a better bet to go with Plan A to allow you some flexibility.