Ace Truck Leases Its 10-Ft Box Truck at $40/day and $0.45/mi

question 106

Multiple Choice

Ace Truck leases its 10-ft box truck at $40/day and $0.45/mi, whereas Acme Truck leases a similar truck at $30/day and $0.50/mi. Find the daily cost of leasing from each company as a function of x number of miles driven. ​

• A) 40 + 0.45x, 30 + 0.5x
• B) 40 + 30x, 0.45 + 0.5x
• C) 40 + 0.5x, 30 + 0.45x
• D) 0.45 + 40x, 0.5 + 30x
• E) 30 + 40x, 0.5 + 0.45x

---

Definitions:

Price of B

The cost or value assigned to good or service B in the market.

Equal Satisfaction

A situation or outcome in consumer behavior where an individual achieves the same level of utility or happiness from different combinations of goods or services.

Indifference Curve

A graph showing combinations of goods among which a consumer is indifferent, representing equal levels of satisfaction or utility.

Budget Line

Represents all possible combinations of goods and services a consumer can purchase with a specific budget, given the prices of those goods and services.