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Business, 24.01.2020 05:31 mckleinrivero

Two manufacturing firms, located in cities 90 miles apart. both send their trucks four times a week to the other city full of cargo and return empty. each driver costs $275 per day with benefits (the round trip takes all day) and each firm has truck operating costs of $1.20 a mile.

a) how much each firm could save weekly if each sent its truck twice a week and hauled the other firm’s cargo on the return trip?
b) what would the savings be if there was a $0.20 per mile emission tax on all business truck travel?

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