Tom has a four-year closed-end lease on his Land Cruiser.His contract stipulates a $0.42 per mile excess mileage charge in excess of 48,000 miles.If he actually drove the vehicle 60,000 miles during the four years,he would be charged an extra ____.

Question

Quizplus · Accepted Answer

Tom drove 12,000 miles over the 48,000-mile limit. At $0.42 per mile, the excess mileage charge is 12,000 miles * $0.42/mile = $5,040.

Tom Has a Four-Year Closed-End Lease on His Land Cruiser