Question: Suppose there are three passengers sharing a single cab ride and that passenger As usual fare to his destination would be $72, passenger Bs usual

Suppose there are three passengers sharing a single cab ride and that passenger As usual fare to his destination would be $72, passenger Bs usual fare to her destination would be $108, and passenger Cs 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

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