Delta Rail Is Considering Adding an Additional Run on Its

question 131

Multiple Choice

Delta Rail is considering adding an additional run on its Hope to Princeton commuter route.The total cost of the additional trip is estimated to be $3,000 of which $1,000 are variable costs.The anticipated extra revenues are $1,800.What should the company do?

• A)Not add the train since the company will make a loss.
• B)Not add the train since the company cannot cover its total fixed costs.
• C)Add the train since the loss is less than its total variable costs.
• D)Add the train since the marginal revenue of the extra run exceeds its marginal cost.

Identify measurement issues in accurately measuring poverty and define labor market discrimination.

Discuss the rationale, benefits, and criticisms of universal basic income (UBI) and summarize major provisions of welfare reform, notably Temporary Assistance for Needy Families (TANF).

Understand the impact of agricultural subsidies and policies on farming economics.

Identify the effects of market dynamics on agricultural prices and farm incomes.

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Definitions:

Permanent Income Hypothesis

A theory suggesting that people's consumption choices are based not just on their current income, but also on their expected income in the future.

Monthly Income

The total amount of income or earnings generated by an individual or entity before taxes and deductions, within a month.

Age Group

A segment of a population defined by age. People in the same age group generally face similar life experiences and challenges.

Services

Intangible products provided to consumers, including healthcare, education, banking, and entertainment, distinct from physical goods.