6.1 Calculate Total Cost and Per-Unit Cost Given Various ...

Using the aircraft example from the chapter, calculate the total flight cost and cost per mile for a flight of 425 and 1425 miles respectively. Recall that: Fixed cost for fuel = $5000. Variable cost = $10 per mile. Total cost for 425 miles: $5000 + (425 miles * $10/mile) = $9,250. Cost per mile = $9,250/425 miles = $21.76/mile. Total cost for ... ................
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