The Only Variable Input a Janitorial Services Firm Uses to Clean

question 71

Essay

The only variable input a janitorial services firm uses to clean offices is workers who are paid a wage, w, of $8 an hour. Each worker can clean four offices in an hour. Use math to determine the variable cost, the average variable cost, and the marginal cost of cleaning one more office. Draw a diagram to show the variable cost, average variable cost, and marginal cost curves.

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