2. The Paulson Buffet offers an all-you-can-eat buffet meal for $32 per person. The restaurant employs ten salaried employees. Rent for the building, employee salaries, and other fixed costs for the restaurant are $67,500 per month when the restaurant serves meals up to 14,300 guests in that month. If the restaurant were to serve more than 14,300 guests in any given month, it would need to hire two additional servers and two additional kitchen staff for an additional fixed cost of $18,000 per month. The variable cost of food is $20 per guest. Read the requirements Requirement 1. What is the restaurant's cost equation for estimating costs if the number of guests to be served is up to 14,300 guests per month? y=s O x +$ Requirement 2a. If the restaurant were to serve 13,500 guests in May, what would be the estimated total cost (Use the cost equation from Requirement 1.) If the restaurant were to serve 13,500 guests in May, the estimated total cost would be $ Requirement 2b. If the restaurant were to serve 13,500 guests in May, what would be the average cost per quest? If the restaurant were to serve 13,500 guests in May, the average cost per guest would be $ L . Requirement 3a. If the restaurant were to serve 11,600 guests in June, what would be the estimated total cost using the cost equation from Requirement 1? If the restaurant were to serve 11,600 guests in June, the estimated total cost using the cost equation from Requirement 1 would be $ Requirement 3b. If the restaurant were to serve 11,600 guests in June, what would be the estimated total cost using the average per guest cost from Requirement 2b? If the restaurant were to serve 11,600 guests in June, the estimated total cost using the average cost per guest from Requirement 2b would be $ Requirement 3c. Why is there a difference in the two cost estimates? There is a difference in the two cost estimates because the average cost per guest (1) - _ as volume changes, due to the (2) - _ of the buffet's costs. The fixed cost per unit (3) _ as volume decreases, while the variable cost per unit (4) - Requirement 4. What is the restaurant's cost equation for estimating costs if the number of guests to be served is more than 14,300 guests per month? y=$ O x+5 Requirement 5. If the restaurant were to serve 15,800 guests in July, what would be the estimated total cost? (Use the cost equation from Requirement 4.) If the restaurant were to serve 15,800 guests in July, the estimated total cost using the cost equation from Requirement 4 would be $ 1: Requirements 1. What is the restaurant's cost equation for estimating costs if the number of guests to be served is up to 14,300 guests per month? 2. If the restaurant were to serve 13,500 guests in May, what would be the a. Estimated total cost? (Use the cost equation from Requirement 1.) b. Average cost per guest? 3. If the restaurant were to serve 11,600 guests in June, what would be the a. Estimated total cost using the cost equation from Requirement 1? b. Estimated total cost using the average per guest cost from Requirement 2b? C. Why is there a difference in the two cost estimates? 4. What is the restaurant's cost equation for estimating costs if the number of guests to be served is more than 14,300 guests per month? 5. If the restaurant were to serve 15,800 guests in July, what would be the estimated total cost? (Use the cost equation from Requirement 4.) (3) O (1) O O changes remains constant (2) Ofixed component O variable component O decreases increases remains constant incre (4) O O O decreases. increases remains constant. O