Reference no: EM132223563

You can either take a train or drive your car to work. A train pass costs $40 per week, whereas driving your car to work costs $480 weekly (parking, tolls, gas, etc.). You spend half-an-hour less on a one-way trip in your car than on a train. How would you prefer to travel to work if your wage rate is $80 per hour? Will you change your preferred mode of transportation if your wage rate rises to $160 per hour? Assume you work five days a week and time spent riding on a train or driving a car does not directly enter your utility.

Please solve the above questions with steps, thanks!