Fast Food Terminals III After firing cashiers to install touchscreens for patrons to place orders, Taco Casa determined that their average cost per touchscreen order was $0.65 . After determining that the average compensation cost per human mediated order was $0.60 per order, they revert back to human order takers. Then why did the realized average cost per order with humans come in at $0.70?
Compensation costs represent the bulk of the employee costs, but not all of them. Low wage employees can have conflicts with customers that reduces orders, employees can incur costs if they get injured on the job or if they break equipment, and some employees steal while machines typically do not. A full analysis would incorporate these potentially hidden costs.
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Consumption has fallen substantially in Techland due to pessimism among households. What will be the outcome if a contractionary monetary policy is adopted during this period?
What will be an ideal response?
Two small airlines provide shuttle service between Las Vegas and Reno. The services are alike in every respect except that Fly Right bought its airplane for $500,000, while Fly by Night rents its plane for $30,000 a year
If Fly Right were to go out of business, it would be able to rent its plane to another airline for $30,000. Which airline has the lower costs? A) Fly Right. B) Fly by Night. C) Neither, the costs are identical. D) Neither, Fly by Night has lower costs at small output levels and Fly Right has lower costs at high output levels.
Which of the following best describes the eclectic aggregate supply curve?
A. Horizontal until full employment is reached, and then it becomes vertical. B. Vertical at all output levels. C. First horizontal, then upward sloping, and finally vertical. D. Downward sloping.
If 1 U.S. dollar exchanges for 0.9 Canadian dollars, how much would it cost in U.S. dollars and cents to purchase a Canadian hockey jersey priced at 45 Canadian dollars?
What will be an ideal response?