Suppose that you bought an automobile that cost $10,000 two years ago and your car could be sold now for $5,000. You are trying to decide whether to drive or take the train to Shanghai to attend a concert. You have ample cash to do either, but you don’t want to waste money needlessly. Which of the following costs is relevant to this decision ?
A.
annual cost of licensing your car
B.
the historical purchasing cost of $10,000
C.
the cost of the train ticket
D.
the market price of $5,000 in the second-hand market.