Suppose You Own a Courier Service and You Use Two

question 45

Multiple Choice

Suppose you own a courier service and you use two types of delivery vehicles - Model A,which costs $30 000 to purchase,and Model B,which costs $50 000 to purchase.You have a budget of $300 000 for the purchase of new vehicles.What is the opportunity cost of one Model A vehicle?

• A)0
• B)3/5 ths of a Model B vehicle
• C)5/3rds of Model B vehicle
• D)5 Model B vehicles
• E)3 Model B vehicles

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Definitions:

American Society

American Society likely refers to a specific organization, such as the American Society of Mechanical Engineers (ASME), which is dedicated to the development and dissemination of knowledge and standards within a specific field.

ASME

The American Society of Mechanical Engineers, an organization that sets industry standards for mechanical engineering practices, including codes for pressure vessels and piping.

Mechanical Engineers

Experts who use physics and materials science principles to design, analyze, manufacture, and maintain mechanical systems.

Manufacturing Engineers

Professionals who design, implement, and improve the manufacturing processes, systems, or products, focusing on efficiency, quality, and safety.