William meyer has driven his used car 16,789 miles since purchasing it for $6500 two years ago. He spent a total of $1868 on gas, oil changes, maintenance, and tires. He spent $815 on insurance and registration. The car has depreciated by $2100. What is the cost per mile?
(Depreciation is included with variable cost)
Cost per mile=(variable cost+fixed cost)divided by number of miles driven.
Heres where i need help... so i think that
Cost per mile=(1868+815+2100) divided by 16789 = about 0.28
That would mean the answer is $0.28
Is that right????