A company consumed about 355,000 kWh of electrical energy during the month of April. The billed demand is estimated to be 600 kW for April. If the sales tax is 7 percent, calculate the electric utility bill for the company.

Estimate the reduction in the April electric utility bill for the company following a peak shaving measure that lowered the April billed peak demand to 450 kW.

The company is subject to the following electric rate structure:
Rate-1:
i. Customer charge: $145.00/month ii. Energy charge: $0.0325/kWh/month iii. Demand charge applicable to the billing demand:
– On-peak season: $500 for the first 100 kW – plus $5.50/kW for any additional kW – Off-peak season: $300 for the first 100 kW – plus $3.50/kW for any additional kW The on-peak season extends from May to October and the off-peak season spans from November to April.