Be sure to use your resources to answer the questions. You can go back to the recorded lectures, the notes, your homework problems and the text. Feel free to ask questions on the discussion board in D2L as well. Get started on this sooner than later. You can use this paper to fill in answers for part 1.b.i. but please answer the other questions on a separate sheet of paper - do not squeeze your answers in on this document. I know what the questions are. I only want to see your answers. Your goal should be to make a document that is easy for me to read. 1. (10 pts) Friendly Henry's Goods is a business in rural Oregon. Henry and his staff, along with his truffle hogs (to see what this looks like, check this out: https://www.youtube.com/watch?v=zh7fZtaQYug and https://www.youtube.com/watch?v=OzkvOKKJbYg) are very skilled at finding truffles, although some on staff are better at it than others. Henry and his staff (the people, not the hogs) also are skilled at harvesting orchids (specifically Complex Paphiopedilums,) although, like collecting truffles, some of his staff are better at orchid harvesting than others. We can estimate Friendly Henry's PPF with the following production possibility combinations. Production Combination Pounds of Truffles Orchid Plants A 96 0 88 13 70 35 D 50 55 32 70 F 0 77 a. Create a graph of this PPF by plotting all of the combinations and connecting them sequentially with straight lines. You can draw the graph by hand or you can use an on-line tool like this one: NCES Graphing Tool to create a pdf to add to your document. But I would really recommend using Desmos. Here is the link for a tutorial: https:/www.youtube.com/watch?v=1V_WRFePmPY Put the orchids on the vertical axis (or the y-axis) and the truffles on the horizontal axis (x-axis.) This problem is similar to the Dreamliner and small jets problem from the lecture where I estimate the PPF by adding point A and drawing two straight lines (slide 21,) only this problem has more points and more straight lines. It is also similar to the Fish and Potatoes problem I posted in D2L in Week 2. Submit your graph with your assignment. b. Next, in part i below, use the formula for marginal opportunity cost (MOC) to calculate the MOC between the following sets of points. I have included the formula below. Be sure to show your work and label your MOC with either "truffles" or "orchids."Calculating Marginal Opportunity Cost . To calculate the marginal opportunity cost of increasing production of one product between two production combinations on a straight PPF, use the following formula: Change in the variable that is decreasing Change in the variable that is increasing . The vertical lines are absolute value . The units are in terms of the other variable i. Make sure that you pay attention to the direction. For example, when you go from point A to B, you are gaining orchids and you are giving up truffles. The amount that you are losing goes on the top of the fraction, and the amount that you are gaining goes on the bottom of the fraction. Be sure to label your answers with orchids or truffles. The vertical lines around the fraction represent absolute value. A to B: F to E: B to C: E to D: C to D: D to C: III D to E: C to B: E to F: B to A: ii. State the Law of Increasing Marginal Opportunity Costs. (Check your slides for the L of IMOC if you don't know what it is.) iti. Explain whether your answers from part i support the Law of Increasing Marginal Opportunity Costs. You must use your numbers from part i to explain your answer. iv. Suppose climate change begins to occur in the region where on Henry's land is located and the average rainfall begins to rise. Suppose the rainfall change doubles the orchid production but truffle production is not affected. Recalculate the number of orchids produced at each combination and draw a new production possibilities curve on your original graph or create a new one if it is too difficult to add to your original