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11. For Supercutss haircut service, the only variable input is labor.pdf

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Supercuts provides haircuts for $200 in labor costs per day for 20 haircuts. To provide one additional, 21st haircut costs $250 in labor for the day, so the marginal cost of the 21st haircut is $25. The information also states that the average variable cost of the sixth haircut is $20, so the total variable cost of six haircuts would be 6 * $20 = $120.

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11. For Supercuts's haircut service, the only variable input is labor. Supercuts's labor costs are $200 a day and they supply 20 haircuts per day. To have 21 haircuts per day, labor costs increase to $250 a day. The marginal cost of the 21 st haircut is A) $25. B) $50. C) $250. D) indeterminate from the information given. 12. If the average variable cost of the sixth haircut is $20, then the total variable cost of six haircuts is A) $20. B) $100. C) $120. D) indeterminate from this information.

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