1.Australian government issues a so-called "Basic Card" to people who are under income management. Suppose that Sam's monthly income is $500, which he needs to divide between food and all other goods such that the following budget constraint holds: $10*A+$5*F=$500, where A is the quantity of all other goods and F is the quantity of Food. As a result of recent change of welfare policy, Sam became eligible for a basic card that contains the value of $250. However, he can only use the card to buy food. a. Draw Sam's initial budget line in the absence of basic card, using vertical axis for all other goods and horizontal axis for food. b. Illustrate Sam's new budget line with the card, and discuss whether he will be better off with basic card. c. A survey on the users of basic card revealed a high level of dissatisfaction regarding the card. Use the model to illustrate that a consumer can achieve high level of happiness if he is handed out $250 in cash instead of basic card worth of $250. d. The government claimed that Basic Card was introduced to tackle problems associated with alcohol, drug abuse and gambling. What do you think about the pros and cons of the card? (See for example: https://www.abc.net.auews/2018-07-24/cashless-welfare-card-considered-in-troubled-tennant-creek-nt/10030406). (note: the following quesitons are here for you to review the relevant contents in 1st year economics. Feel free to post a question in the discussion forum if you forget what they are) 2. The total costs for Morris Industries are summarized in the following table. Based on this information, fill in the missing entries in the table for fixed cost, variable cost, average fixed cost, average variable cost, average total cost, and marginal cost.