Bill has just returned from a duck hunting trip. He brought home eight ducks. Bill$$s friend, John, disapproves of duck hunting, and to discourage Bill from further hunting, John presented him with the following cost estimate per duck:

Camper and equipment:

Cost, $$17,000$; usable for eight seasons; $14$ hunting trips per season $ $152$

Travel expense $($pickup truck$)$:

$100$ miles at $$0\mathrm{.}40$ per mile $($gas$,$ oil, and tires$$$$0\mathrm{.}24$ per mile; depreciation and insurance$$$$0\mathrm{.}16$ per mile$)40$

Shotgun shells $($two boxes per hunting trip$)40$

Boat:

Cost, $$2,320,$ usable for eight seasons; $14$ hunting trips per season $21$

Hunting license:

Cost, $$40$ for the season; $14$ hunting trips per season $3$

Money lost playing poker:

Loss, $$36($Bill plays poker every weekend whether he goes hunting or stays at home$)36$

Bottle of whiskey:

Cost, $$15$ per hunting trip $($used to ward off the cold$)15$

Total cost $ $307$

Cost per duck $($$$307-$: $8$ ducks$)$ $ $38$

Required:

$1.$ Assuming the duck hunting trip Bill has just completed is typical, what costs are relevant to a decision as to whether Bill should go duck hunting again this season?

Answer rating: 100% (QA)

Answer To determine the relevant costs for Bills decision on whether to go duck hunting again this season we need to identify the costs that will chan... View the full answer