6. The relationship between marginal product and marginal cost Simone's Burrito Stand is a small restaurant that sells burritos. For Simone, stoves are a fixed input and workers are variable inputs. Assume that laboris Simone's only variable cost. Simone has a fixed cost of $100 per day and pays each of her workers $100 per day. Simone's total product schedule and total cost at each level of labor are presented in the following table. Fill in the blanks to complete the Marginal Physical Product of Labor column for each worker and the Marginal Cost column at each level of labor. (Hint: Marginal cost is the change in total cost divided by the change in the quantity of output. You can calculate it here by dividing the increase in total cost from hiring one more worker by the marginal physical product from hiring one more worker.) Quantity of Labor (Workers) Quantity of Output (Burritos per day) Marginal Physical Product of Labor (Burritos per day) Total Cost 0 0 1 50 2 150 3 200 4 225 AAAAA 235 Marginal Cost (Dollars per day) (Dollars per burrito) $100 $ $200 $300 S $400 $ $500 diminishing $600 increasing When hiring the first and second workers, Simone's Burrito Stand faces marginal returns to labor. Over the range of workers for which the marginal product of labor is increasing, Simone's Burrito Stand faces marginal cost.