Question

In: Finance

The​ U-Drive Rent-A-Truck company plans to spend ​$15 million on 310 new vehicles. Each commercial van...

The​ U-Drive Rent-A-Truck company plans to spend ​$15 million on 310 new vehicles. Each commercial van will cost ​$35 comma 000​, each small truck ​$70 comma 000​, and each large truck  ​$60 comma 000. Past experience shows that they need twice as many vans as small trucks. How many of each type of vehicle can they​ buy? They can buy nothing ​vans, nothing small​ trucks, and nothing large trucks.

Solutions

Expert Solution

Answer:

Let number of small truck purchased = x
Let number of large truck purchased = y

Number of vans purchased = 2 * Number of small truck purchased
Number of vans purchased = 2 * x

Cost of van = $35,000
Cost of small truck = $70,000
Cost of large truck = $60,000

According to the question:

2x + x + y = 310 or 3x + y = 310                                    .... (1)

$35,000 * 2x + $70,000 * x + $60,000 * y = $15,000,000
$70,000 * x + $70,000 * x + $60,000 * y = $15,000,000
$140,000 * x + $60,000 * y = $15,000,000
7 * x + 3 * y = 750                                                             .... (2)

Solving (1) and (2), we get
x = 90, y = 40

Number of van purchased = 2 * 90
Number of van purchased = 180
Number of small truck purchased = 90
Number of large truck purchased = 40


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