| Mode | Fixed Cost | Variable Cost |
| Rail | High- equipment terminals, tracks etc. | Low |
| Highway | Low-highways provided by public funds | Medium- fuel, maintenance. |
| Water | Medium- ships and equipment | Low-capability to transport large amount of tonnage. |
| Pipeline | Highest-rights-of-way, construction, control stations, pumping capacity. | Lowest-no labour cost of any significance. |
| Air | Low-aircraft and cargo handling system. | High-fuel, labour and maintenance. |
Cost Structure for Each Mode of Transportation
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