58
QuizMultiple Choice

Topic Test

Question 58 • ****Spring 2026 Financial Math - MA2007 MQS21QXV

Bao has been notified by his electric company that his rates are going up on his graduated fee schedule. He currently pays:Standard Use Plan6.5 cents/kWh for the first 600 kWh12 cents/kWh for the next 600 kWhIf his rates go up 1 cent in each category, find how much he will pay if he uses 875 kWh per month. Round to the nearest dollar.

Answer
A
$72
B
$105
C
$66
D
$81

Explanation

After the increase, the first 600 kWh cost 7.5 cents each: 600 × $0.075 = $45. The remaining 275 kWh cost 13 cents each: 275 × $0.13 = $35.75. The total is $80.75, which rounds to $81, so the correct choice is $81.

AI-written and checked against the verified answer.

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