An advertiser signed an annual contract to purchase 3,000 column inches @ $4.25 per column inch, subject to an end-of-year adjustment. After a year, the advertiser had actually used 2,500. If the paper charges according to the following scale, determine what, if anything, should be done to the advertiser's account.
$$\begin{array} { | l | c | c | }
\hline { \text { Rate } } & \text { Minimum Annual Use (Column Inches) } & \text { Price per Column Inch } \
\hline \text { Open } & - - & \$ 5.35 \
\hline \text { Variable } & 1,000 & \$ 5.00 \
& 2,000 & \$ 4.65 \
& 3,000 & \$ 4.25 \
& 4,000 & \$ 3.75 \
\hline
\end{array}$$

Question

An advertiser signed an annual contract to purchase 3,000 column inches @ $4.25 per column inch, subject to an end-of-year adjustment. After a year, the advertiser had actually used 2,500. If the paper charges according to the following scale, determine what, if anything, should be done to the advertiser's account.
 $$\begin{array} { | l | c | c | } 
\hline  { \text { Rate } } & \text { Minimum Annual Use (Column Inches) } & \text { Price per Column Inch } \
\hline \text { Open } & - - & \$ 5.35 \
\hline \text { Variable } & 1,000 & \$ 5.00 \
 & 2,000 & \$ 4.65 \
 & 3,000 & \$ 4.25 \
& 4,000 & \$ 3.75 \
\hline
\end{array}$$

Quizplus · Accepted Answer

The Answer of An advertiser signed an annual contract to purchase 3,000 column inches @ $4.25 per column inch, subject to an end-of-year adjustment. After a year, the advertiser had actually used 2,500. If the paper charges according to the following scale, determine what, if anything, should be done to the advertiser's account.
 $$\begin{array} { | l | c | c | } 
\hline  { \text { Rate } } & \text { Minimum Annual Use (Column Inches) } & \text { Price per Column Inch } \
\hline \text { Open } & - - & \$ 5.35 \
\hline \text { Variable } & 1,000 & \$ 5.00 \
 & 2,000 & \$ 4.65 \
 & 3,000 & \$ 4.25 \
& 4,000 & \$ 3.75 \
\hline
\end{array}$$

An Advertiser Signed an Annual Contract to Purchase 3,000 Column