Question

Check my work Espresso Express operates a number of espresso coffee stands in busy suburban malls. The fixed weekly expense of a coffee stand is $1,200 and the variable cost per cup of coffee served is $0.22 Required: 1. Fill in the following table with your estimates of the company's total cost and average cost per cup of coffee at the indicated levels of activity 2. Does the average cost per cup of coffee served increase, decrease, or remain the same as the number of cups of coffee served in a week increases? ed Complete this question by entering your answers in the tabs below. Required 1 Required 2 Fill in the following table with your estimates of the company's total cost and average cost per cup of coffee at the indicated levels of activity. (Round the 'Average cost per cup of coffee served to 3 decimal places. Cups of Coffee Served in a Week 2.000 2.100 2.200 Fixed cost Variable cost Total cost Average cost per cup of coffee served < Prex 3 of 8 8 Next > 60P РА

Answer 1

Solution 1:

64 IR SK 65 66 67 68 Cups of coffee served in a week 2100 2200 1200 1200 1200 484 1640 1662 1684 0.820 0.791 0.765 70 440 Fixed cost variable cost($0.22* cups of coffee) Total cost Average cost per cup of coffee served 462 71 72 73 74 75 76 79 82 87 90 98 99 100 101 102 103 104 105 106 et265 ) Sheet266 ) Sheet234 ) Sheet212 Sheet213

Solution 2:

Decrease. (As observed from solution 1)