Chapter 5: Motor Carriers Study Guide Graded A+

What is the current status of the rules covering drivers' hours of service? {Ans: maximum of 11 hours after being off duty for 10 consecutive hours}What is a Private Carrier? {Ans: a trucking operation that only hauls freight for the firm which owns it}LTL carriers must make the same type of equipment decisions as TL along with deciding: {Ans: where to deploy this equipment}All carriers receive a safety fitness rating. Who makes the inspection and determines the rating? {Ans: Federal Motor Carrier Safety Administration}The requirements for a truck driver's license are defined by: {Ans: Federal Motor Carrier Safety Administration}What is one of the service characteristics of the trucking industry? {Ans: Truck rates are cheaper than rail or air}Do motor carriers experience economies of scale? {Ans: not for large scale motor carriers}Discuss the current method of funding for highways and include your opinion as the fairness as it relates to the trucking industry. {Ans: highway users-motor carrier vehicle and automobile operators-pay for the construction, maintenance, and policing of highways through highway user taxes It is fair}What is the operating ratio, how is computed and what does it measure? {Ans: (operating expense/operating revenue)*100