As an analyst at delta airlines, you are asked to the operations staff. operations has identified a new method of loading baggage that is expected to result in a 35 percent reduction in labor time but no changes in any other costs. the current labor cost to load bags is $12 per bag. other costs are $11 per bag. what the differential costs should the operations staff consider for the decision to use the new method next year? what would be the cost savings per bag using it?

Solution:

1) The differential costs that the operations staff should consider are mentioned below:

- The 35% saving in lobar cost.

- The cost to deploy the new method.

2) The cost saving using it would be = $12*30%

                                                             = $3.6

The difference here between cost of two alternative choices or a reduction in the level of output is the marginal cost. The idea is used if you have multiple options and you have to choose one option and remove the remaining options.

answer: a. the kind of population living in your neighbourhood.

the census explorer data tool by the us census bureau allows the user to zoom in on any neighbourhood within the united states and find the kind of people residing in that by race and age.  

the tool needs to needs to be used twice – once in order to find what type of people reside in a neighbourhood, and then to see the age groups of the people in the same neighbourhood.