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Espresso Express operates a number of espresso coffee stands in
busy suburban malls. The fixed weekly expense of a coffee stand is
$900 and the variable cost per cup of coffee served is $0.66.
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?
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
Average cost per cup of
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?
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