Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Read the following excerpt from an article about changes in gas rates in Charleston, West Virginia. Mountaineer Gas wants to lower rates for customers for

Read the following excerpt from an article about changes in gas rates in Charleston, West Virginia.

Mountaineer Gas wants to lower rates for customers for the second consecutive year.

Gas rates for residential customers will likely drop by 5.24 percent, starting Nov. 1.

Mountaineer Gas filed for the rate reduction earlier this month, citing a decline in natural gas prices.

If the state Public Service Commission approves the lower rate, the average residential customer's monthly gas bill would drop by about $7.50 a month.

"Natural gas has been relatively cheaper for the last couple of years," said Byron Harris, who heads the PSC's Consumer Advocate Division. "Gas rates are definitely going in the right direction, while electricity rates keep going up."

Mountaineer's business customers will see their gas rates decline by about 6 percent, while industrial customer rates will drop 9.7 percent.

Suppose you are creating the spreadsheet below to track the gas rates.

Based on the information in the article, what was the average monthly gas bill for a residential customer before the rate change? Round to the nearest cent.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International financial management

Authors: Jeff Madura

12th edition

1133947832, 978-1305195011, 978-1133947837

More Books

Students also viewed these Finance questions