A truck delivered sand to two customers in a week. The following details are available.
Customer Weight of goods
delivered (kilograms) :X 500. Y 180.Total = 680.
Distance covered(kilometres):X 200. Y1,200. Total = 1400.
The truck cost $3,060 to operate in the week. Each customer delivery was carried out separately, and
the truck made no other deliveries in the week.
What is the cost per kilogram/kilometre of sand delivered in the week (to the nearest $0.001)?
A $0.003
B $0.010
C $2.186
D $4.500
Can someone please explain to me how to solve it?
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MAService costing question
Solution to Service costing problem:
X - Distance x Delivery(200 x 180 = 100,000 kilogram/kilometer)
Y- Distance x Delivery( 1200 x 180=216,000vkilogram/kilometer)
total =316,000 kilogram/kilometer
Cost to operate truck = $3,060.00
To find the cost per kilgram/kilometer of sand, you divide cost by level of activity.
therefore $3060.00/316,000 =$0 .010
this is how I perceive it.
but 3060/316000= 0.009 in my calculator.
saman66, it rounds up to 0.01. Hope this helps.
thanks
You are welcome.
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