Answer 1 

Part A

Generalised cost is the sum of monetary and non-monetary cost of a journey. It is used for the purpose of judgement. Monetary cost includes public transport fare journey, fuel cost, wear and tear and any other parking charge.

Non-Monetary Cost involved time which is spent on undertaking the journey. Time is converted into monetary value figure using time value figure, which varies as per traveller income and trip purpose.

The generalised is equivalent to the goods price in demand and supply theory. It is seen that travellers are willing to spent time on some parts of journey rather than spent on others. The same is categorised into following:

1. Walk from Origin
2. Wait for the vehicle
3. Ride in the vehicle
4. Walk towards the destination

All travellers “dislike” all time spent in travelling, at the same time they dislike walking and also waiting parts of journey more than as compared to in-vehicle journey time, and are willing to pay for such more. This ultimately leads to higher time value for those journey parts than main in-vehicle journey part.

An alternative approach for the same is to apply weighting to time spent on each different part of journey which quantifies the level of dislike a traveller has for time spent on that bit of journey as compared to time spent on vehicles.