2. Consider a firm that hires L hours of labour services at a wage of w per hour and rents K hours of machine services at a rental rate of r per hour in order to produce q units of output in accordance with the production function 9 = 51 + 2.5K . (a) Determine the firm's long-run total, average, and marginal cost functions. (b) Suppose that K is fixed at 20 in the short run. Determine the firm's short-run total, average, and marginal cost functions.(c) Suppose that w = 3 and / = 1. On appropriate, well-labelled graphs, draw the short-run total cost curve for K