You and a group of friends are planning to visit a theme park, which charges $60 for admission, $80 for a two day pass, and $90 for a three day pass. You're friends are interested in spending a lot of time there, but they're worried about paying a lot of money. You explain the concept of marginal cost, which helps them see that the additional day is a good value. Part 1 The average cost per day of a three-day pass is $________ per person The marginal cost of adding the third day is $______ per person Part 2 If there are 6 people in your group, the groups marginal cost of switching from the two-day pass to the three-day pass is $ _______
You and a group of friends are planning to visit a theme park, which charges $60 for admission, $80 for a two day pass, and $90 for a three day pass. You're friends are interested in spending a lot of time there, but they're worried about paying a lot of money. You explain the concept of marginal cost, which helps them see that the additional day is a good value. Part 1 The average cost per day of a three-day pass is $________ per person The marginal cost of adding the third day is $______ per person Part 2 If there are 6 people in your group, the groups marginal cost of switching from the two-day pass to the three-day pass is $ _______
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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You and a group of friends are planning to visit a theme park, which charges $60 for admission, $80 for a two day pass, and $90 for a three day pass. You're friends are interested in spending a lot of time there, but they're worried about paying a lot of money. You explain the concept of marginal cost, which helps them see that the additional day is a good value.
Part 1
The average cost per day of a three-day pass is $________ per person
The marginal cost of adding the third day is $______ per person
Part 2
If there are 6 people in your group, the groups marginal cost of switching from the two-day pass to the three-day pass is
$ _______
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