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Annual depreciation $ 3,000 Annual mileage 14,640 Current year's loan interest $ 710 Miles per gallon 24 Insurance $ 860 License and registration fees $

Annual depreciation $ 3,000 Annual mileage 14,640
Current year's loan interest $ 710 Miles per gallon 24
Insurance $ 860 License and registration fees $ 125
Average gasoline price $ 3.50 per gallon Oil changes/repairs $ 730
Parking/tolls $ 660

a. Calculate total annual operating cost of the motor vehicle.

Total variable cost $
Total fixed cost $
Total annual operating cost $

b. Calculate operating cost per mile. (Enter your answer in cents rounded to 1 decimal place.)

Operating cost per mile cents

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