QUESTIÓN 3: Mr. Daily moves to a new province and has the option to either use prepaid electricity or metered electricity. He requests a comprehensive summary of the costs per kWh of electricity consumed and decides to analyse the information received. He summarizes it in the table below. Use the information to provide answers to Mr. Daily's questions below. Prepaid electricity Metered electricity No service fee is charged for prepaid A service fee of R115.20 per month is electricity. charged for metered electricity (VAT excluded). Electricity is charged at RO.80 per kWh. The first 100 units are free. Electricity is charged at R1.20 per kWh. Cost ( Prepaid elec) Cost ( Metered elec) = R115.20 + R0.80 × (number of units used – free units) = R1.20 × number of units used %3D

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