Question

Suppose there are three passengers sharing a single cab ride and that passenger A’s usual fare to his destination would be $72, passenger B’s usual fare to her destination would be $108, and passenger C’s fare would be $180. Because they are sharing the cab, and assuming no surcharge, the total cab fare is $180, rather than the $360 they would have had to pay in total individually. So there is a $180 saving to sharing the cab.

Required:

1. If the passengers decide to split the $180 savings based on the relative proportion of how much each passenger would have paid individually if they had not shared the cab, then how much will passenger C pay?

multiple choice 1

• $60

• $90

• $120

• $180

2. If the passengers decide to split the cab fare so that each passenger saves the same absolute amount of money, how much will passenger B pay?

multiple choice 2

• $48

• $54

• $60

• $72

Answer 1

1	90.00
Below is working-
	Individual fare	Actual fare- 180. Split in ratio of individual fare
A	72.00	36.00
B	108.00	54.00
C	180.00	90.00
	360.00	180.00
2	48.00
Below is working-
	Individual fare	Saving- 180.	Fare paid
A	72.00	60.00	12.00
B	108.00	60.00	48.00
C	180.00	60.00	120.00
	360.00	180.00