SCMN: Transport Exam Questions With
Correct Answers A+
What is a private carrier? - Answer✔only carries for the company that owns it
2006 railroads carried what percentage of inner city ton-miles? - Answer✔43%
There is a relatively small amount of capital required to enter the...? - Answer✔Truckload
industry
Which agency in the DOT governs specifications of trucks such as number of lights, tires and
other operating parts? - Answer✔Federal motor carrier safety administration
what is largest single expense for trucking firms? - Answer✔labor
there are several types of trucking terminals, what are they? - Answer✔PUD, break-bulk, relay
looking at profit loss statements, what is operating ratio? 9mil expense and 10 mil operating
revenue? - Answer✔OR= (Operating expense/operating revenue)100; 90%
are there major economies of scale in the trucking industry? - Answer✔no, economies of scale
are not evident in the trucking industry
what percentage of rail revenue is earned by local carriers? - Answer✔3.7%
what is the primary reason for growth of trucking after WWII? - Answer✔Interstate system
what does most of the trucking industry consist of? - Answer✔TL carriers with 6 or less carriers
What type of trailer can be hooked together by 2's or 3's? - Answer✔28 foot
all carriers receive a safety fitness rating. Who makes the inspection and determines the rating? -
Answer✔Federal Motor Carrier Safety Administration
Which best characterizes the short run cost structure of the railroads? - Answer✔large proportion
of individual fixed costs
the demand for freight is derived from what? - Answer✔demand of the product
what led to the erosion of rail dominance in US transportation? - Answer✔government funding
of road construction
most airline revenues arise from what? - Answer✔passenger travel