Refer to Table 11-6. Alicia Gregory owns a foot massage business. She leases 4 computer-controlled massage booths, for which she pays $125 per day. She cannot increase the number machines she leases without giving the manufacturer 3 months notice

She can hire as many workers as she wants at a cost of $75 per day per worker. These are the only two inputs she uses in her business. Use this information to fill in the columns in the above table.

Quantity of workers Quantity of foot massages per day Fixed cost Variable cost Total cost Average total cost Marginal cost
0 0 $500 $0 $500 --- ---
1 10 500 75 575 57.50 $7.50
2 25 500 150 650 26.00 5.00
3 45 500 225 725 16.11 3.75
4 60 500 300 800 13.33 5.00
5 70 500 375 875 12.50 7.50