The Rich Company leases its copier on an annual basis.The lease fee is $1,600 per year plus $.01 per copy for any copies made over 750,000.If the company made 800,000 copies in 2008, its total cost was:

Question

Quizplus · Accepted Answer

The total cost includes the annual lease fee of $1,600 plus the cost of the additional copies made over 750,000. The company made 800,000 - 750,000 = 50,000 additional copies. At $.01 per additional copy, the cost for these copies is 50,000 * $.01 = $500. Therefore, the total cost is $1,600 (annual lease fee) + $500 (additional copies) = $2,100.

The Rich Company Leases Its Copier on an Annual Basis