For Connection to the System and Water Usage W, in Hundreds

question 2

Multiple Choice

For connection to the system and water usage w, in hundreds of gallons, water company A charges . ​
For connection to the system and water usage w, in hundreds of gallons, water company B charges .
Both A and B are in dollars.How many hundreds of gallons of water will result in the same charge from water company A and water company B? Round your answer to two decimal places.
​

• A) The charge will never be the same.
• B) 424.00 hundred gallons
• C) 191.15 hundred gallons
• D) 423.53 hundred gallons

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Definitions:

Security Market Line

A line that represents the relationship between the risk of an investment and its expected return, based on the capital asset pricing model (CAPM).

Risk-Free Rate

The theoretical rate of return on an investment with no risk of financial loss, often represented by government bonds.

Unsystematic Risk

The type of risk that is specific to a company or industry, stemming from factors like management decisions or regulatory changes, and can be mitigated through diversification.

Limited Number

A restricted quantity, usually referring to a specific allocation or issuance of items, resources, or opportunities.