Assume that the Houndstooth's output (the number of drinks it sells) depends only on the number of bartenders it has working at any given time. Moreover, assume that each bartender costs the Houndstooth $120 a day and that they have a fixed cost of $600 a day. Use this information to complete the following cost table.
|
Bartenders
|
Drinks (Quantity)
|
Marginal Product
|
Total Cost
|
Average Total Cost
|
Marginal Cost
|
|
0
|
0
|
---
|
$600
|
---
|
---
|
|
1
|
160
|
160
|
720
|
|
|
|
2
|
400
|
240
|
840
|
|
|
|
3
|
720
|
480
|
960
|
|
|
|
4
|
960
|
480
|
1080
|
|
|
|
5
|
1120
|
640
|
1200
|
|
|
|
6
|
1200
|
560
|
1320
|
|
|
|
7
|
1240
|
680
|
1440
|
|
|