Practical Management Science
Practical Management Science
6th Edition
ISBN: 9781337406659
Author: WINSTON, Wayne L.
Publisher: Cengage,
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Benny is the manager of an office-support business that supplies copying,
binding, and other services for local companies. He must replace a worn-out
copy machine that is used for black-and-white copying. He is considering two
machines, and each of these has a monthly lease cost plus a cost for each page
that is copied.
Machine 1 has a monthly lease cost of $619, and there is a cost of $0.040 per
page copied.
Machine 2 has a monthly lease cost of $685, and there is a cost of $0.025 per
page copied.
Customers are charged $.12 per page copied.
If Benny expects to make 75,000 copies per month, what would be the monthly
cost for each machine?
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Transcribed Image Text:Benny is the manager of an office-support business that supplies copying, binding, and other services for local companies. He must replace a worn-out copy machine that is used for black-and-white copying. He is considering two machines, and each of these has a monthly lease cost plus a cost for each page that is copied. Machine 1 has a monthly lease cost of $619, and there is a cost of $0.040 per page copied. Machine 2 has a monthly lease cost of $685, and there is a cost of $0.025 per page copied. Customers are charged $.12 per page copied. If Benny expects to make 75,000 copies per month, what would be the monthly cost for each machine?
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