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Vesnalui [34]
3 years ago
10

Calvin is a college student who has identified the need his fellow students have for transportation to and from a nearby store.

He owns a van that can carry four people in addition to himself; he pays $50 insurance costs per month. He has calculated that his cost of transporting his fellow students will be $2.50 per student per round-trip ride, assuming he has a full van. Given this information, which statement is correct, assuming Calvin has a full van?
Business
1 answer:
xeze [42]3 years ago
4 0

Answer:

Calvin's marginal cost is constant at $2.50; Calvin's average variable cost is constant at $2.50.

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Explanation:

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