Energy Production and Usage - AP Environmental Science

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Question

Car Company A is in deep trouble with the U.S. Department of Transportation (DOT). It has been discovered that Company A's 2015 all-passenger car fleet has a mean fuel economy that falls short of the federal fuel economy requirements. Current fuel economy standards for passenger cars must average to 30.2mpg (miles per gallon) and the current penalty for non compliance is $5.50 for every 0.1mpg under regulations and multiplied by the number of cars in that years' fleet. If Company A's fleet has an average fuel economy of 29.8mpg with a total of 270,000 produced for U.S. markets, what will be the DOT fine imposed on the company?

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Answer

First we want to determine the difference in minimum fuel economy standards and the actual fuel economy of Company A's fleet:

Given that Company A's fleet is out of compliance by and they have sold passenger cars in U.S. markets, we can calculate the fine as such:

Therefore, the total penalties for Company A totals for the entire fleet.

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