We want to buy the car depending on its cost for 10 years. Here is the algorithm for deciding which car to buy depending on its cost. Assume a price of OMR 4.000 per liter of gas and usage of 15,000 kilometers per year. For each car, compute the total cost as follows: annual fuel consumed = annual miles driven / fuel efficiency annual fuel cost = price per gallon x annual fuel consumed operating cost = 10 x annual fuel cost total cost = purchase price + operating cost If total cost1 < total cost2 Choose car1. Else if total cost1 > total cost2 Choose car2. Else Choose car1 or car2 Use these sample values: Car 1: purchase price: OMR 25,000, fuel efficiency: 10 kms/liter, Car 2: purchase price: OMR 20,000, fuel efficiency: 15 kms/liter What is the outcome of the algorithm. a. Choose car1 and car2 b. Choose car 2 C. Choose car 1 O D. Choose car1 or car2
We want to buy the car depending on its cost for 10 years. Here is the algorithm for deciding which car to buy depending on its cost. Assume a price of OMR 4.000 per liter of gas and usage of 15,000 kilometers per year. For each car, compute the total cost as follows: annual fuel consumed = annual miles driven / fuel efficiency annual fuel cost = price per gallon x annual fuel consumed operating cost = 10 x annual fuel cost total cost = purchase price + operating cost If total cost1 < total cost2 Choose car1. Else if total cost1 > total cost2 Choose car2. Else Choose car1 or car2 Use these sample values: Car 1: purchase price: OMR 25,000, fuel efficiency: 10 kms/liter, Car 2: purchase price: OMR 20,000, fuel efficiency: 15 kms/liter What is the outcome of the algorithm. a. Choose car1 and car2 b. Choose car 2 C. Choose car 1 O D. Choose car1 or car2
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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We want to buy the car depending on its cost for 10 years. Here is the algorithm for deciding which car to buy depending on its cost. Assume a price of OMR 4.000 per liter of gas and usage of 15,000 kilometers per year. For each car, compute the total cost as follows: annual fuel consumed = annual miles driven / fuel efficiency annual fuel cost = price per gallon x annual fuel consumed operating cost = 10 x annual fuel cost total cost = purchase price + operating cost If total cost1 < total cost2 Choose car1. Else if total cost1 > total cost2 Choose car2. Else Choose car1 or car2 Use these sample values: Car 1: purchase price: OMR 25,000, fuel efficiency: 10 kms/liter, Car 2: purchase price: OMR 20,000, fuel efficiency: 15 kms/liter What is the outcome of the algorithm.
a. Choose car1 and car2
b. Choose car 2
C. Choose car 1 O
D. Choose car1 or car2
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