### Suppose your company runs a shuttle business of a hotel to and from the local airport. The costs for different customer loads are: 1 customer: \$30 2...

#### Description

Suppose your company runs a shuttle business of a hotel to and from the local airport. The costs for different customer loads are:1 customer: \$30 2 customers: \$323 customers: \$354 customers: \$38 5 customers: \$426 customers: \$487 customers: \$578 customers: \$68.If you are compensated \$10 per ride, what customer load would you choose? Marginal Cost is the change in costs due to the additional customer. Since marginal revenue is the price of \$10, you will serve customers up to the point where MC > MR or you will serve 7 customers. Marginal Cost is the change in costs due to the additional customer. Since marginal revenue is the price of \$10, you will serve customers up to the point where MC < MR or you will serve 10 customers. Marginal Cost is the change in costs due to the additional customer. Since marginal revenue is the price of \$10, you will serve customers up to the point where MC< MR or you will serve 9 customers. Marginal Cost is the change in costs due to the additional customer. Since marginal revenue is the price of \$10, you will serve customers up to the point where MC = MR or you will serve 7 customers.

#### Question

Suppose your company runs a shuttle business of a hotel to and from the local airport. The costs for different customer loads are: 1 customer: \$30 2...

• Written in: 17-Oct-2019
• Paper ID: 5967835
Price: \$ 15

STATUS

Approved