Which of the following is relevant when deciding whether to drive or fly home for semester break? options: Cost of the gasoline
Cost of car insurance
Cost of annual parking at school
Cost of vehicle registration
The correct answer and explanation is:
Correct Answer: Cost of the gasoline
When deciding whether to drive or fly home for semester break, the most relevant consideration among the listed options is the cost of the gasoline. This cost is directly associated with the specific trip being taken and affects the total expense of driving at that particular time.
Cost of gasoline is a variable cost, which means it changes depending on how much and how far someone drives. When evaluating whether to drive or fly, a person must consider how much money will be spent on fuel for the journey. This cost varies based on the distance to be traveled, the fuel efficiency of the car, and the current price of gasoline. If gasoline prices are high or the car consumes a lot of fuel, the total cost of driving may become much higher than purchasing a plane ticket.
In contrast, the cost of car insurance, annual parking at school, and vehicle registration are fixed costs. These expenses are paid regularly, such as monthly or annually, regardless of whether the person drives the car for this specific trip. These costs do not increase or decrease based on the decision to drive home for break. Since they are not affected by this individual travel decision, they are not directly relevant in the comparison between flying and driving for a single trip.
Therefore, when making a cost-effective travel decision, only expenses that change as a result of the trip should be included in the calculation. That is why gasoline, which directly increases the cost of driving, is the key factor to consider. This allows the traveler to fairly compare the total variable cost of driving with the cost of a plane ticket and make the most practical and economical decision for the semester break journey.