90.2K

Verified Solution

Link Copied!

Problem? mcey Hawkins works for large r asked her to make a presentation to the upcoming accounting bonor spelet cholarship dinner. Her firm supports the Presentation because it hopes to recruit more excellent employees like Tracey. The university is 190 miles from her office. In order to act to the dinner by 5:00 p.m., she will need to leave work at 1:00 pm. She can drive her personal car and be reimbursed $0.50 per mile. The dinner ends at 9:00 p.m. Company policy allows her to spend the night if the return trip is four hours or more. There is a student-run inn and conference center across the street from campus that charges 5101 per night. Instead of driving, she could catch a 3:00 p.m. flight that has a round-trip fare of $300. Flying would require her to rent a car for $39 per day and pay an airport parking fee of $25 for the day. The company pays a per diem of $35 for incidentals if the employee spends at least six hours out of town. The per diem would be for one 24-hour period for either flying or driving. As a manager, Tracey is responsible for recruiting within a budget and wants to determine which is more economical. Use the information above to answer these question. If the question ask for a numerical answer. please show and label your work. A. What is the total amount of expenses Tracey would include on her expense report if she drives? B. What is the total amount of expenses Tracey would include on her expense report if she flies? c. What is the relevant cost of driving? D. What is the relevant cost of flying? E. What is the differential cost of flying over driving? F. What other factors should Tracey consider in her decision between flying and driving

Answer & Explanation Solved by verified expert

See Answer