Toyata tow trucks

source:http://www.flickr.com/photos/crobj/3606871463/

Intro• Dear all, we are the Sales department from Toyata Tow

Truck company, Singapore branch. We have encoutered some problems with the pricing of our two trucks, and we need Your help in solving this problem.

• Due to the rise of incapable drivers who think they can win the F1 cup after they play Asphalt 8 and watch Need for Speed, Singapore has seen an exponential increase in traffic accidents on the road, thus raising the demand for tow trucks.

• We, from Toyata, will also have to compete with competitors such as Mercedes-Benz and Ferrari on tow trucks. Thus, we have created several models of Toyata tow trucks.

Background

Logarithmic equations

• However, our statistics department is 80 year Mr Lee who doesn't know how to operate the computer.The reason for that is most of the department went overseas to assist the other car companies in other countries. Futhermore, they have to participate in a conference.

• To simplify the calculation process of the estimated

Some more background• The models we currently have are namely model C011in and T-0h .

However, us at the sales department will have to calculate a suitable selling price of the Tow truck(although this should have been done in Statistics, but due the the unforeseen circumstances, we have to calculate it by ourselves).

• The formulae for the selling price of the Tow Truck is V=C (0.25+(t/30)). V is the selling price, C is the cost price, and t is the number of tow trucks produced in the previous month.

Questions• Model C011in has a cost price of $19,000 (without COE). In March

2010, our company produced a total of 24 tow trucks. What is the selling price of Model C011in Tow Trucks in April?(3s.f.)

• Model T-0h has a selling price of $49,400(3s.f.) and a cost price of $20,500. How many tow trucks was produced in the previous month?(nearest whole number)

• Formula:V=C(0.25+(t/30)).

• After a series of calculation, we managed to solve the questions. We realised that by using the converted logarithmic equation, the cost price was very reasonable as long as we do not produce more than 25 tow trucks. Hence, should we want to sell more tow trucks, some changes should be made to the equation, so that the price shall remain reasonable.

Conclusion