sandy wrote:

A taxi driver makes $50 an hour, but pays $100 a day rent for his taxi and has other costs that amount to $0.50 per mile. If he works three 7-hour days and one 9-hour day and drives a total of 600 miles in one week, what is his profit?

(A) $700

(B) $800

(C) $1,100

(D) $1,200

(E) $1,500

REVENUETaxi driver makes $50 an hour. He works three 7-hour days and one 9-hour dayTotal work time = (3)(7) + 9 = 30 hours

TOTAL revenue = (30 hours)($50/hour) =

$1500EXPENSESDriver pays $100 a day rent for his taxi, and has other costs that amount to $0.50 per mile. He drives a total of 600 miles in one week4 days of taxi rental = (4)($100) = $400

600 miles at $0.50 per mile = (600)(0.50) = $300

TOTAL expenses = $400 + $300 =

$700What is his profit?Profit = revenue - expenses

=

$1500 -

$700= $800

Answer: B

Cheers,

Brent

_________________

Brent Hanneson – Creator of greenlighttestprep.com

Sign up for our free GRE Question of the Day emails