Matt has a three-year closed-end lease on his Prius V.His contract stipulates a $0.31 per mile excess mileage charge in excess of 39,000 miles.If he actually drove the vehicle 45,000 miles during the three years,he would be charged an extra ____.

Question

Quizplus · Accepted Answer

To calculate the excess mileage charge, we need to find the number of miles driven in excess of 39,000.

Excess mileage = Total miles driven - Mileage allowed in lease

Excess mileage = 45,000 - 39,000 = 6,000 miles

Now, for each mile driven in excess, Matt will be charged $0.31.

Excess mileage charge = Excess mileage x Excess mileage rate

Excess mileage charge = 6,000 x $0.31 = $1,860

Therefore, the answer is C, $1,860.

Matt Has a Three-Year Closed-End Lease on His Prius V