To calculate and compare the unit costs for each cell phone company, we'll break down the process into clear steps for each company.
Part A
Cell City:
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Total Cost: $8
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Total Hours: 2.5 hours
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Unit Cost Calculation:
\[ \text{Unit Cost} = \frac{\text{Total Cost}}{\text{Total Hours}} = \frac{8}{2.5} \]To calculate: \[ 8 \div 2.5 = 3.2 \]
So for Cell City, the unit cost is $3.20 per hour.
Smart Mobile:
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Total Cost: $1.75
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Total Hours: 1 hour
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Unit Cost Calculation:
\[ \text{Unit Cost} = \frac{\text{Total Cost}}{\text{Total Hours}} = \frac{1.75}{1} \]Thus, the unit cost for Smart Mobile is $1.75 per hour.
Values for Part A
- Cell City: 3.20
- Smart Mobile: 1.75
Part B
Based on the unit rates calculated:
- Cell City: $3.20 per hour
- Smart Mobile: $1.75 per hour
Statement: Smart Mobile offers the lower unit cost.
The answer is: C. Smart Mobile, because the unit cost is lower.
Part C
Explanation of Calculation Steps:
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Cell City:
- First, we identified the total cost for Cell City, which is $8, and the total provided service time, which is 2.5 hours.
- To find the cost per hour, we divided the total cost by the total hours: \[ 8 \div 2.5 = 3.2 \]
- We calculated 8 divided by 2.5, which gives us a unit cost of $3.20 per hour.
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Smart Mobile:
- For Smart Mobile, the total cost is $1.75 for 1 hour of service.
- The calculation for unit cost was straightforward since it's just dividing the total cost by the total hours: \[ 1.75 \div 1 = 1.75 \]
- Thus, Smart Mobile's unit cost is simply $1.75 per hour.
By comparing these unit costs from both Cell City and Smart Mobile, we concluded that Smart Mobile, with a unit cost of $1.75 per hour, offers the best deal.
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