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CAF-5 · Chapter 2 · Question 10 of 10

Service Department X's total costs (x) are Rs. 16,500 plus 20% of Service Department Y's costs. Department Y's total costs (y) are Rs. 10,600 plus 10% of Department X's costs. Which of the following correctly represents the equation setup to find Department X's total costs under the simultaneous equation method?

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Reveal answer & explanation

Correct answer: B) x = 16,500 + 0.2(10,600 + 0.1x)

Explanation

The equations are: x = 16,500 + 0.2y y = 10,600 + 0.1x To solve for x, you substitute 'y' into the first equation: x = 16,500 + 0.2(10,600 + 0.1x).

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