Answer is 17486 An business development executive travels extensively for busine

Question

Answer is 17486

An business development executive travels extensively for business. Her company offers two options to offset her driving expenses. Option 1 provides a car allowance of 510 dollars per month and a mileage reimbursement of $0.35/mile for fuel, insurance, and maintenance costs. Option 2 provides a mileage reimbursement of $0.7/mile to coverall expenses associated with owning a car.How many miles would she have to drive each YEAR for the two options to be of equal value. Express your answer in miles to the nearest whole mile.

Explanation / Answer

assume miles as X

OPTION 1 equation will look like

Option 1 = 510*12 + 0.35*X = 6120+0.35X

Option 2 = 0.70X

Now assume two equations as equal as we need to find out the equal value miles

option 1 = option 2

6120+0.35X=0.70X

6120=0.35X

6120/0.35 = X

X= 17485.71 or 17486

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