Seattle Transit Ltd. operates a local mass transit system. The transit authority is a state governmental agency. It has an agreement with the state government to provide rides to senior citizens for 50 cents per trip. The government will reimburse Seattle Transit for the “cost” of each trip taken by a senior citizen.
The regular fare is $2 per trip. After analyzing its costs, Seattle Transit figured that with its operating deficit, the full cost of each ride on the transit system is $4. Routes, capacity, and operating costs are unaffected by the number of senior citizens on any route.
a. What alternative prices could be used to determine the governmental reimbursement to Seattle Transit?
b. Which price would Seattle Transit prefer? Why?
c. Which price would the state government prefer? Why?
d. If Seattle Transit provides an average of 150,000 trips for senior citizens in a given month, what is the monthly value of the difference between the prices in (b) and (c)?
Explain both why and how it may be useful to run a Monte Carlo experiment in order to augment asymptotic results for econometric estimators in a particular context.May 04 2020
Yearly salaries paid to the salespeople employed by a certain company are normally distributed with mean $27,000 and standard deviation $4900. What is the probability tha...Aug 03 2020
Does Adams economic theory, division of labor, coincide with the absolute and comparative advantage and why?Apr 04 2020
You're a financial advisor and you get a call from a prospect named Diane Bosworth whom you have been after for months. She tells you that she is ok with her curre...Mar 16 2020
Fisher Effect Multiple ChoiceAccording to Fisher Effect, if the expection infaltions in Japan is 6% and in Korea is 3%, what should be implied interest rate differential ...Aug 25 2020
How much fiberglass insulation (k = 0.035 W/m*K) is needed to guarantee that the outside temperature of a kitchen oven will not exceed 43 degrees Celsius? Themaximum oven...May 05 2020
Complete Parts A, B, and C below Remember to include an APA style title page Remember that in number problems, either calculations or SPSS output must be shownPart ASome ...Mar 19 2020
(TCOs 2 & 3) Identify and briefly describe the two major categories of estimating project time and costs. How are these used during the estimating process?May 17 2018
Find the directional derivative of phi = xy^2 z^3 at the point (1,1,1) along the normal to the surface x^2+xy+z^2 =3 at (1,1,1) >Aug 07 2020
1. Contrast Hillton’s earlier corporate culture with the emerging set of cultural values. 2. Considering the difficulty in changing organizational culture, why does Hillt...May 14 2020