The Delivery Trucks of Italiana's Pizzeria Incurred Maintenance Costs of $2,400

question 137

Multiple Choice

The delivery trucks of Italiana's Pizzeria incurred maintenance costs of $2,400 during its busiest month of 20xx, in which 8,000 miles were driven collectively. During its slowest month, $1,800 in maintenance costs were incurred, resulting from 5,000 miles being driven. Using the high-low method, what maintenance cost would the company expect to incur at 5,350 miles of driving?

• A) $1,870
• B) $1,770
• C) $2,020
• D) $1,720

---

Definitions:

Periodic Deposit Investment

An investment strategy involving regular, fixed-amount contributions into an investment account.

Simple Interest

Interest that is calculated on the principal in an account, using the formula I = prt.

Checking Account

A checking account is a bank account that allows for easy access to funds through checks, debit cards, and electronic transfers, used primarily for daily transactions.

ATM Withdrawal

The act of taking out cash from one's bank account through an Automated Teller Machine.