Back
to top
A level economics - opportunity cost question
Watch this threadPage 1 of 1
Go to first unread
Skip to page:
jiyapatel16272
Badges:
10
Rep:
?
You'll earn badges for being active around the site. Rep gems come when your posts are rated by other community members.
#1
Hi, can someone help me with this question?
A driver makes the following estimates in considering the purchase of a car which she intends to
use only when she would otherwise have used public transport.
purchase price of car: 6000
value of car after one year:4500
car operating and repair costs, insurance and taxation for one year: 1800
cost of using public transport for one year instead of travelling by car: 800
potential earnings after tax on $6000 invested for one year: 500
The answer is 3000. Why?
A driver makes the following estimates in considering the purchase of a car which she intends to
use only when she would otherwise have used public transport.
purchase price of car: 6000
value of car after one year:4500
car operating and repair costs, insurance and taxation for one year: 1800
cost of using public transport for one year instead of travelling by car: 800
potential earnings after tax on $6000 invested for one year: 500
The answer is 3000. Why?
0
reply
TSR Jessica
Badges:
19
Rep:
?
You'll earn badges for being active around the site. Rep gems come when your posts are rated by other community members.
#2
Report
#2
Sorry you've not had any responses about this. 
Are you sure you've posted in the right place? 
Here's a link to our subject forum which should help get you more responses if you post there. 
Are you sure you've posted in the right place? 
Here's a link to our subject forum which should help get you more responses if you post there. 
0
reply
tmr19
Badges:
17
Rep:
?
You'll earn badges for being active around the site. Rep gems come when your posts are rated by other community members.
#3
Report
#3
(Original post by jiyapatel16272)
Hi, can someone help me with this question?
A driver makes the following estimates in considering the purchase of a car which she intends to
use only when she would otherwise have used public transport.
purchase price of car: 6000
value of car after one year:4500
car operating and repair costs, insurance and taxation for one year: 1800
cost of using public transport for one year instead of travelling by car: 800
potential earnings after tax on $6000 invested for one year: 500
The answer is 3000. Why?
Hi, can someone help me with this question?
A driver makes the following estimates in considering the purchase of a car which she intends to
use only when she would otherwise have used public transport.
purchase price of car: 6000
value of car after one year:4500
car operating and repair costs, insurance and taxation for one year: 1800
cost of using public transport for one year instead of travelling by car: 800
potential earnings after tax on $6000 invested for one year: 500
The answer is 3000. Why?
Savings: Public transport (800).
3800-800= 3000
1
reply
X
Page 1 of 1
Go to first unread
Skip to page:
Quick Reply
