Suppose there are three passengers sharing a single cab ride and that passenger A’s usual fare to his destination would be $72, passenger B’s usual fare to her destination would be $108, and passenger C’s fare would be $180

Suppose there are three passengers sharing a single cab ride and that passenger A’s usual fare to his destination would be $72, passenger B’s usual fare to her destination would be $108, and passenger C’s 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