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Suppose your company runs the shuttle business for a hotel to and from the local airport. The costs for different customer loads are: 1 customer:$30
Suppose your company runs the shuttle business for a hotel to and from the local airport. The costs for different customer loads are:
1 customer:$30
2 customers: $32
3 customers: $35
4 customers: $38
5 customers: $42
6 customers: $48
7 customers: $57
8 customers: $68.
- What are your marginal costs for each customer load level?
- If you are compensated $10 per ride, what customer load would you choose?
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