Question 7 • Mathematics III
Find the weighted average by multiplying each fuel price by the probability of being in that region, then adding: (0.20 × $3.10) + (0.30 × $3.50) + (0.50 × $4.05) = $0.62 + $1.05 + $2.025 = $3.695. Rounded to the nearest cent, the company should budget $3.70 per gallon, choice B.
AI-written and checked against the verified answer.