The Rapid Delivery Service Is Considering the Expansion of Its

question 35

Multiple Choice

The Rapid Delivery Service is considering the expansion of its business into afternoon retail delivery service. This would require an additional $25,000 in labor costs per month. Company-owned vehicles now used to make morning deliveries to local manufacturers could be used in the afternoons to make retail deliveries. However, it is estimated that an additional $10,000 would be required per month for gas, oil, and maintenance. It is further estimated that the retail delivery use of the trucks would be allocated 45% of the existing $13,000 fixed vehicle costs. What is the differential delivery cost per month for expanding into the retail delivery market?

• A) $25,000.
• B) $35,000.
• C) $39,500.
• D) $40,850.

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Definitions:

Consumable Goods

Items that are intended to be bought, used, and then replaced after their value has been fully consumed or they can no longer be used.

Social Gerontology

A field of study that examines the social aspects of aging, including the relationships, roles, and societal impacts on older adults.

Social Contacts

Interactions with others that can range from casual encounters to deeper relationships, important for social development and support.

Age Discrimination

Prejudice or discrimination against individuals or groups based on their age, especially prevalent against older adults in the workplace and other domains.