What is the marginal cost per train mile

Assignment Help Business Economics
Reference no: EM13852701

According to data provided by British Rail to the Mergers and Monopolies Commission, the 1988 costs of a Sprinter (Class 150/2) train were: Capital Cost 525,000, Annual costs (per unit): Depreciation 26,300, Overhaul and maintenance 32,600, Stabling and cleaning 9,400, Total annual cost of: 2 drivers 20,200, 2 guards 15,600, Mileage costs (per mile): Maintenance 0.15, Fuel 0.126. Assuming 90,000 miles annual use, what is the marginal cost per train mile?

0.150

0.126

0.276

0.155

Reference no: EM13852701

Questions Cloud

How should one go about changing layout of empty cubicles : Is there optimal size for all organizations - Also how should one go about changing the layout of empty cubicles?
Knowledge of the price elasticity of demand : Consider the following: “In 1973 several major oil producing countries formed a cartel. The cartel effectively decreased the supply of crude oil. Gasoline prices rose sharply as did the total expenditures on gasoline.” Use a supply/demand diagram of ..
What is meant by the term tactical advertising : What is meant by the term "tactical advertising" and "creative services campaigns" and how do they apply to NBC/Universal
What happens in the market for cotton shirts : The price of cotton rises. What happens in the market for cotton shirts?
What is the marginal cost per train mile : According to data provided by British Rail to the Mergers and Monopolies Commission, the 1988 costs of a Sprinter (Class 150/2) train were: Capital Cost 525,000, Annual costs (per unit): Depreciation 26,300, Overhaul and maintenance 32,600, Stabling ..
Effective outcome of traditional and virtual teams : Prepare a paper on Effective Outcome of Traditional and Virtual Teams
Many factors affect supply and demand of carbonated sodas : Many factors affect the supply and demand of carbonated sodas.
Price of oranges falls-what happens in the market for apples : The price of oranges falls. What happens in the market for apples, which are a substitute for oranges?
Two goods are complements : Two goods are complements if:

Reviews

Write a Review

Business Economics Questions & Answers

  Colleges of business todayactor of production by a classical

ALL colleges of business today also was 1st proposed as a factor of production by a classical economist less than 40 years after Adam Smith.

  Profit-maximizing quantity

At the profit-maximizing quantity, what is the average total cost of producing e-books.

  In a system of money which is based on fiat money

In a system of money which is based on Fiat Money. Who or what backs up the money? In other words, who do we trust with our money? What is the Number #1 enemy of your money?

  Explain how would this affect bottlenecks and rush-hour

the technology is now developing so that road use can be priced by computer. A computer in the surface of the road picks up a signal from your can and automatically charges you for the use of the road. Explain how would this affect bottlenecks and..

  Average and marginal products

Where Q is the production and V is the number of employees working 8 hours a day

  Observation made recently by an undergraduate philosophy

Discuss the observation made recently by an undergraduate philosophy major that "the major international institutions are concerned with keeping the rich countries rich, at the expense of the poorer ones."

  What are the firms total costs at their production level

One firm has been contracted by a government agency to provide job training services to low income individuals. The marginal cost curve of the firm is MC=5+0.5Q There are no fixed costs. Firm 1 provides 120 hours of training services each week. What ..

  Measure of common stock volatility

Easy Lawn Care Incorporated has a beta (a measure of common stock volatility) of 1.32, what is its estimated cost of equity capital based on the CAPM when the risk-free interest rate is 2%?

  Corporate profitability declined

What performance % would you use to trigger executive bonuses for that year.

  Ensure that the economy reaches its potential output level

According to the classical model, to ensure that the economy reaches its potential output level, the government

  Study recent trends in the money supply

Use the Fred database at the federal reserve bank of st. louis to study recent trends in the money supply. Select the data series for demand deposits at commercial banks, either seasonally adjusted or not. View the chart and identify what patterns or..

  Compute what happens to the quantity of k

Compute what happens to the quantity of K. Your answer must include the appropriate sign. Correctly round your answer to 2 decimal places. Do NOT include the percent sign as part of your answer.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd