Business, 30.05.2020 21:59 daltonbrown4
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 60 cents per trip. The government will reimburse Seattle Transit for the "cost" of each trip taken by a senior citizen. The regular fare is $3.00 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 $5.00. Routes, capacity, and operating costs are unaffected by the number of senior citizens on any route. Required: b. Which price would Seattle Transit prefer?
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Seattle Transit Ltd. operates a local mass transit system. The transit authority is a state governme...
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