00:01
So hear from the question, we have been giving the delivery charge in the first 50 terms to be 0 .88456 per term, and that is in dollars.
00:12
And over 50 terms is zero.
00:14
Now, the natural gas cost, the first 50 terms is 0 .321 per term.
00:20
Then over 50 terms, it would give us 0 .533 per term, and that is for the natural gas cost.
00:28
Now, for the first part of the question, it says that the change.
00:31
Charge of 40 terms and that is as the 40 is less than 50 terms so the delivery charge is applicable because here you look at it and we have 40 the 40 the charge of 40 terms that is less than 50 so here the delivery charge is going to be applied using the formula delivery charge plus the natural cost we are going to get 40 multiplied by 0 .0 .0.
01:03
0 .84846 and this is going to be added to 40 multiplied by 0 .3 219 and when you do that you are going to get your final answer to be 48 48 .28 .258 .458 .4.
01:47
Okay so the charge of 40 times the charge of 40 times so the charge the charge of 40 times now becomes 48 thousand or 48 point are two five sorry 48 .2584 that is a charge okay now with the second part of the question which is a b, it says that the charge of 250 terms, that is here we have the delivery charge to be zero, then the cost.
02:39
The cost goes from the question, it says over the 50 terms is zero dollars.
02:44
So here the delivery charge will be zero and the cost of gas will be 0 .533 terms...