Vehicle Costs - These are divided into fixed costs, which are unaffected by mileage, and variable...
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Vehicle Costs - These are divided into fixed costs, which are unaffected by mileage, and variable costs, which increase with mileage. This indicates the savings from transportation improvements that allow consumers to reduce their vehicle ownership and use. Definitions Vehicle Costs include various costs to own and use vehicles (plus incremental equipment costs for mobility substitutes such as tele-work). These indicate the savings that result when vehicle ownership and uses are reduced. These can be divided into fixed (also called ownership) and variable (also called operating, marginal or incremental) costs, as indicated below. Variable costs increasing with vehicle' mileage and fixed costs remained. The costs are divided into two categories; Fixed Costs a. Vehicle purchase or lease b. Insurance c. Registration and vehicle taxes d. Salary e. Licensing f. Rental Variable Costs a. Maintenance and repair b. Fuel, fuel taxes and oil c. Paid parking and tolls d. Overtimes e. Incentives f. Stationeries and publications g. Marketing h. Customers program Some costs that are considered fixed are actually partly variable. Variable costs can be defined as the savings that result from a reduction in vehicle mileage. At a minimum, vehicle travel reductions provide savings in fuel, oil, and out-of-pocket parking costs that typically total about 10 per vehicle-mile reduced. In addition, depreciation, insurance and residential parking are partly variable, since increased driving increases the frequency of vehicle repairs and replacement, reduces vehicle resale value, and increases the risks of crashes, traffic and parking citations. Most leased vehicles have "excessive mileage" charges averaging about 10 per km over a certain level (typically 15,000 km annually). Vehicle Costs - These are divided into fixed costs, which are unaffected by mileage, and variable costs, which increase with mileage. This indicates the savings from transportation improvements that allow consumers to reduce their vehicle ownership and use. Definitions Vehicle Costs include various costs to own and use vehicles (plus incremental equipment costs for mobility substitutes such as tele-work). These indicate the savings that result when vehicle ownership and uses are reduced. These can be divided into fixed (also called ownership) and variable (also called operating, marginal or incremental) costs, as indicated below. Variable costs increasing with vehicle' mileage and fixed costs remained. The costs are divided into two categories; Fixed Costs a. Vehicle purchase or lease b. Insurance c. Registration and vehicle taxes d. Salary e. Licensing f. Rental Variable Costs a. Maintenance and repair b. Fuel, fuel taxes and oil c. Paid parking and tolls d. Overtimes e. Incentives f. Stationeries and publications g. Marketing h. Customers program Some costs that are considered fixed are actually partly variable. Variable costs can be defined as the savings that result from a reduction in vehicle mileage. At a minimum, vehicle travel reductions provide savings in fuel, oil, and out-of-pocket parking costs that typically total about 10 per vehicle-mile reduced. In addition, depreciation, insurance and residential parking are partly variable, since increased driving increases the frequency of vehicle repairs and replacement, reduces vehicle resale value, and increases the risks of crashes, traffic and parking citations. Most leased vehicles have "excessive mileage" charges averaging about 10 per km over a certain level (typically 15,000 km annually).
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