In the evenings, Shawn Corder works telling fortunes using his friend Fred Molloy's booth at the city market. Mr. Molloy pays the booth rental, so Mr. Corder has no rental cost. As a courtesy, Mr. Corder provides each customer a soft drink. The drinks cost him $0.50 per customer.
Required
a. What is the soft drink cost both in total and per customer if the number of customers is 5, 10, 15, 20, or 25?
b. Is the soft drink cost fixed or variable?
c. Draw two graphs. On one, plot total soft drink cost for 5, 10, 15, 20, and 25 customers; on the other, plot soft drink cost per customer for 5, 10, 15, 20, and 25 customers.
d. Comment on the likelihood that Mr. Corder will incur a loss on this business venture.