Kristen Lu purchased a used automobile for $32,050 at the beginning of last year and incurred the following operating costs:

Depreciation ($32,050 5 years)	$ 6,410
Insurance	$ 3,400
Garage rent	$ 1,800
Automobile tax and license	$ 890
Variable operating cost	$ 0.12	per mile

The variable operating cost consists of gasoline, oil, tires, maintenance, and repairs. Kristen estimates that, at her current rate of usage, the car will have zero resale value in five years, so the annual straight-line depreciation is $6,410. The car is kept in a garage for a monthly fee.

Required:

1. Kristen drove the car 25,000 miles last year. Compute the average cost per mile of owning and operating the car. (Round your answers to 2 decimal places.)

What is the average fixed cost per mile? What is the variable cost per mile?

What is the average cost per mile?