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You run a game-day shuttle service for parking services for the local ball club. Suppose you are compensated $16 per customer, per ride. In other
You run a game-day shuttle service for parking services for the local ball club. Suppose you are compensated $16 per customer, per ride. In other words, your marginal revenue is $16. Your costs for different customer loads are summarized in the following table.
Note: Round your answers to the nearest cent.
Customers
Total Cost
Marginal Cost
Average Cost
($)
($ per customer)
($ per customer)
1$302$343$424$545$706$907$1148$142
In order to maximize profits, you should carry7 customers per load.
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