Question

Hanna wants to calculate the cost of her electric bill. She is on a standard use plan that has a graduated fee schedule.

Standard Use Plan
8.5 cents/kWh for the first 400 kWh
12 cents/kWh for the next 400 kWh
14.5 cents/kWh for anything over 800 kWh

How much will her bill be if she uses 1,465 kWh? Round to the nearest dollar.

Answer 1

First 400 kWh: 400 × $0.085 = $34.00
Next 400 kWh: 400 × $0.12 = $48.00
Remaining 1465 − 800 = 665 kWh: 665 × $0.145 = $96.425

Total = $34.00 + $48.00 + $96.425 = $178.425 → rounded to nearest dollar = $178.