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Mah Is Considering Transportation Modes to a Client's Office

question 40

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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?

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