Apocalypse Tom owns a 2004 Subaru Impreza WRX, an all wheel drive pseudo sports car that goes faster than Tom reasonably needs to drive and allows him to go over Snoqualmie Pass in winter weather that keeps everyone except chained-up semis and Tom at home.
The WRX has a 15.9 gallon gas tank, and requires premium gasoline. With premium gas running $3.929 per gallon in the Seattle market, a full tank costs $62.47. Presume that Congress elects to implement the McCain/Clinton plan for a Gas Tax Holiday.
1) Assuming that the price of premium gasoline remains fixed at $3.929/gal., how much money in dollars does Apocalypse Tom save on his weekly trip to the pump if his weekly top-off requires purchase of 3/4 tank? What can Tom buy with the savings?
2) What is Apocalypse Tom’s percentage savings over the taxed price, again assuming a fixed price of $3.929/gal.? Round your answer to the nearest hundredth of a percent.
3) Because the Gas Tax Holiday is sure to be temporary, what is Apocalypse Tom’s total savings in dollars over a period of 20 weeks?
4) Assuming that he chooses to save the extra money calculated in Question 1 instead of spending it on junk food, how much whiskey can Apocalypse Tom purchase with the accumulated savings, in order to get him through a notional McCain inauguration?
Answers After the Jump. Seriously, try to work it out, and let Tom know if you think he’s insane.
1) Trick question. Apocalypse Tom saves a consistent 18.4 cents per gallon during the Gas-Tax holiday regardless of changes in the price of gas. Overall, Tom saves $2.19 on 3/4 of a tank of gas if the tax is eliminated. With $2.19, Tom can purchase one 16 oz. bottle of water and one “Big Grab” bag of Doritos for the drive.
2) Apocalypse Tom saves 4.68% on his gas.
3) Tom saves $43.80 over 20 weeks.
4) God, not nearly enough.