Title
Work Example

ACT Work Keys Level: 5


NATEF Task(s): I.A.12

Problem:

As a technician you are frequently asked to repair older model vehicles. A customer has brought into your shop an older car, whose value is listed as $2250, needing repairs to its suspension system resulting from an accident. After diagnosing the problem, you calculate that the parts needed for the repairs will be $1250. In addition, you calculate that it will take you 29 hours (at $35.00/hour) to complete the repairs. What is your advice to the customer? Go ahead with the repairs or "total" the car?

Solution:

$1250 + ($35/hour × 29 hours) = ?
$1250 + ($1015) = $2265

The customer should "scrap" the car; the cost of the repairs ($2265) exceeds the value of the car ($2250).