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