Question

6.
donald hires a van for delivery jobs to various cities. the cost of hire is $90 per day plus the cost of the fuel he will use. the van can travel 6 km for each litre of fuel used and the fuel costs $1.20 per litre.
this week, donald hires the van for three days for the following job:

• on monday, hondmarket to targhill
• on tuesday, targhill to kingburg
• on wednesday, kingburg to hondmarket

the distances in km between cities are shown in the table.

	hondmarket	targhill	newton	kingburg
targhill	153	-	245	400
newton	212	245	-	193
kingburg	413	400	193	-

donald picks up the van in hondmarket on monday and returns it on wednesday (also in hondmarket).
if he gets paid $600 for the entire job, what is his profit?

Explanation:

Step1: Calculate daily hire cost

Daily cost = $90, 3 days: $90 × 3 = $270

Step2: Find total distance traveled

Monday: Hondmarket→Targhill = 153 km
Tuesday: Targhill→Kingburg = 400 km
Wednesday: Kingburg→Hondmarket = 413 km
Total distance = 153 + 400 + 413 = 966 km

Step3: Calculate fuel used

Fuel efficiency = 6 km/litre → Fuel = $\frac{966}{6}$ = 161 litres

Step4: Calculate fuel cost

Fuel cost = 161 × $1.20 = $193.20

Step5: Calculate total cost

Total cost = $270 + $193.20 = $463.20

Step6: Calculate profit

Profit = Revenue - Cost = $600 - $463.20 = $136.80

Answer:

$136.80