Deck 13: Private Transportation and Fleet Management

Question 1

Finance lease only includes:

A) capital costs and license and registration
B) capital cost and heavy maintenance
C) capital costs alone
D) capital cost and normal preventative maintenance

Answer 1

C

Question 2

Which of the following is not an advantage of private trucking?

A) Elimination of carrier profit
B) Reduction in inventory levels
C) Union presence
D) For hire authority to back haul

Answer 2

C

Question 3

How much,on a per mile basis,is fringe benefit cost?

A) $2.00
B) $0.02
C) $0.15
D) $0.65

Answer 3

C

Question 4

Which form of private transportation is most prevalent?

A) Air
B) Rail
C) Ocean
D) Truck

Question 5

What is the fixed cost per mile for long distance refrigerated products?

A) $1.90
B) $0.037
C) $0.27
D) $0.47

Question 6

If annual use is 100,000 miles,total fixed cost is approximately:

A) $27,100
B) $36,200
C) $55,100
D) $65,000

Question 7

What is the average driver cost per mile (non union)?

A) $0.75
B) $1.45
C) $0.60
D) $0.35

Question 8

Which of the following is not a performance criterion for evaluating and controlling a private fleet?

A) miles operated (empty and full)
B) human resource hours
C) vehicle operating hours
D) total gallons of fuel used by entire fleet

Question 9

Which act greatly reduced controls over entry into the common and contract carrier fields?

A) ICC act of 1995
B) The Railroad Act of 1974
C) The 1980 Motor Carrier Act
D) The 1996 Interstate transportation act

Question 10

The advantages of a sleeper cab include all but:

A) Allows for two driver teams
B) Reduces the cost of lodging
C) Increases fuel efficiency
D) Allows one driver to accumulate off duty time in the sleeper

Question 11

Miscellaneous trucking costs include all of the following except:

A) tolls
B) overload fines
C) driver road expense
D) insurance

Question 12

Shipments greater than how many thousand pounds require a five-axle trailer?

A) 45,000
B) 35,000
C) 55,000
D) 25,000

Question 13

Which of the following is an example of a fixed cost for private trucking:

A) Depreciation
B) labor
C) insurance
D) Tolls

Question 14

According to the U.S.Census Bureau how many private trucks are on the road?

A) 100,000
B) 40,000
C) 4,000,000
D) 40,000,000

Question 15

For purposes of classification as a "large shipment",how many pounds should the shipment be?

A) <20,000 pounds
B) <80,000 pounds
C) <35,000 pounds
D) <45,000 pounds

Question 16

A sleeper cab adds how much to the cost of a tractor?

A) $20,000
B) $10,000 to $15,000
C) $2,000 to $4,000
D) $500 to $1,000

Question 17

When operating miles increase:

A) Fixed cost/mile and operating costs increase
B) Operating costs decrease and fixed cost/mile decrease
C) Operating costs decrease and fixed cost/mile increase
D) Operating cost increase and fixed cost/mile decrease

Question 18

Which of the following is not an advantage of private transportation?

A) Flexibility in operations
B) Flexibility in capacity
C) Greater control
D) Improved service levels

Question 19

High product density is considered:

A) < 15lbs/feet cubed
B) <10lbs/feet cubed
C) <30lbs/feet cubed
D) <5 lbs./feet cubed

Question 20

Management and overhead accounts for what proportion of the fixed cost of trucking?

A) 75%
B) 25%
C) 50%
D) 60%

Question 21

Discuss the types costs incurred in operating private truck fleets versus using a for-hire carrier.

Question 22

Why do firms engage in private water transportation? What are the advantages of such service and what types of firms are likely to have their own fleets?

Question 23

What are the key items a firm should consider with respect to controlling a private fleet?

Question 24

Describe private rail transportation.

Question 25

Insurance costs are made up of:

Question 26

Discuss the nature of the competition in the motor carrier industry since the Motor Carrier Act of 1980.

Question 27

License and registration cost are determined by?

Question 28

Maintenance,repair,and tire cost are what percent of total operating costs?

Question 29

After the abolition of the Interstate Commerce Commission (ICC)in 1995 the responsibilities for regulating private transportation were transferred to?

Question 30

Explain the advantages and disadvantages of private trucking.Why do firms have private trucking fleets?

Question 31

What is the reason private fleets have better driver retention?

Question 32

Discuss leasing as an option for private trucking.

Question 33

What does the term private transportation mean?

Question 34

What regulations do firms need to be cognizant of when considering a private fleet?

Question 35

What is unique about private air transportation compared to the other modes?.