Allyson Copeman needs 23 gallons of gasoline to top off her SUV’s gas tank. If s

Question

Allyson Copeman needs 23 gallons of gasoline to top off her SUV’s gas tank. If she drives an extra 10 miles (round trip) to a gas station on the outskirts of town, Allyson Copeman can save $ 0.25 per gallon on the price of gasoline. Suppose gasoline costs $ 3.40 per gallon and Allyson Copeman’s SUV gets 31 mpg for in- town driving. Should Allyson Copeman make the trip to get less expensive gasoline? Each mile that Allyson Copeman drives creates 1.4 lbs of carbon dioxide. Each pound of CO2 has a cost impact of $ 0.05 on the environment. What other factors (cost and otherwise) should Allyson Copeman consider in her decision making?

Explanation / Answer

Total amount of SUV’s gas tank at gas station on the outskirts of town=

= $ (3.40 -0.25) per gallon *23 gallon

= $ 72.45

Total amount of SUV’s gas tank at gas station of town=

= $ (3.40 ) per gallon *23 gallon

= $ 78.2

But extra amount to react that station = 10 miles*$ 3.40 per gallon/31miles per gallon

=$ 1.097

Total saving = $ 78.2 – ($ 72.45+$ 1.097 ) =$4.653

Yes , Allyson Copeman make the trip to get less expensive gasoline. she saves $4.653.

Each pound of CO2 has a cost impact =$ 0.05 on the environment

1.4 lbs of carbon dioxide has a cost impact =$ 0.05 *1.4 on the environment =$ 0.07

After subtract this amount from total saving ($4.653 -$ 0.07)= $4.583. Hence she saves total $4.583.

Cost wise she saved money but according to the environment wise she increase the carbon dioxide in the environment

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