Mah Is Considering Transportation Modes to a Client's Office

question 40

Multiple Choice

Mah is considering transportation modes to a client's office. He can drive his own car, at an incremental cost of $0.55 per km, or take a company car. If he takes his own car, he can be reimbursed $0.45 per km. If Mah makes his decision strictly from his personal economic point of view, what is the relevant net cost associated with driving his own car?

• A) $0.10
• B) $0.45
• C) $0.55
• D) Some other amount

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Definitions:

Related

Being connected or associated with, especially by blood or marriage, or in context, pertaining to related subjects or themes.

Self-reliant Children

Children who have developed the ability to depend on their own skills and resources for solving problems and meeting needs.

Self-control

The capacity to control one's feelings, ideas, and actions when confronted with urges and impulses.

Authoritative

Pertaining to a source of information or control that is recognized for its reliability and accuracy.