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Kent decides to treat himself to an all-you-can-eat buffet lunch. The buffet lunch entry ticket will cost $38. At the buffet, Kent is considering how
Kent decides to treat himself to an all-you-can-eat buffet lunch. The buffet lunch entry ticket will cost $38. At the buffet, Kent is considering how many plates of food he should eat if he were to think like an economist. For his first plate of food, Kent expects to gain an incremental benefit of $30. For his second plate, he gains only incremental benefits of $22, then $15 from the third and $7 from the fourth. Kent knows that eating every additional plate will cost him $13 as he needs to spend time exercising to burn off the extra calories. In determining how many plates Kent should be eating, the buffet lunch entry ticket is a/an . Type A for Average cost, M for Marginal cost, S for Sunk cost or O for Opportunity cost. Using marginal analysis, how many plates of food should Kent be eating at the buffet lunch? . The maximum surplus for Kent, from eating the number of plates you found in part b, is $. Answer to the nearest whole number (with no decimal places)
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