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Real-Life Math

You're a loss prevention consultant in a large city. Mr. Hansen, the owner of a grocery store in a neighboring town, calls you.

Mr. Hansen's town has been growing rapidly, as has his grocery store's business. However, he has noticed his theft-related losses have also increased.

He wants to know how much you'll charge to write a report for him. In it, you'll suggest procedures and equipment that will help him reduce theft.

You estimate the report will take you 17 hours to produce. Your hourly rate is $70. For 5 of those hours you'll use an assistant, who charges $42 an hour.

You estimate you'll need to make 3 trips to Mr. Hansen's store. The town is 74 miles away. You charge clients 28 cents per mile.

The total invoice needs to have 7 percent tax added.

How much will you charge Mr. Hansen for the report?

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OCAP believes that financial literacy and understanding the financial aid process are critical aspects of college planning and student success. OCAP staff who work with students, parents, educators and community partners in the areas of personal finance education, state and federal financial aid, and student loan management do not provide financial, investment, legal, and/or tax advice. This website and all information provided is for general educational purposes only, and is not intended to be construed as financial, investment, legal, and/or tax advice.