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Hello students.
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Today we will discuss about this question.
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In this question, in a siago considers his options for a trip to detroit.
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His options are private, private car, rental car, bus or air.
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We are given the following data and suggest the best mood for his travel.
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So here we need to suggest the best.
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More.
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So here the distance between the two cities that is distance that is equals to one far one way that is 425 kilometer and estimate access at origin and the destination that is 50 kilometer at each city and the excess distance and the excess trips are the same for all the modes.
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So here, first of all, we have to set up a utility function table with all the parameters, set up values for access mode and excess distance cost in seago and detroit, and then also include the round trip cost.
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And we note here we have to note that the rental cost is flat one, one time cost.
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So here we have the following.
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Is suppose here it is private auto then rental car bus air and bus and air with taxi so here the distance in seago that is 50 for all so the number of days of the car rental in seago that is only here it is only one now the distance between the seago and the detroit that is 425 for all here...