Jake lives in Chicago and runs a businas that sells guitars. In an average year, he receives $04,000 from selling guitars. [if this sales revenue, he must pay the manufacturer a wholesale cost of $404,000; he also pays wages and utility bills totaling $285,000. He owns his showroom; if he chooses to rent it out, he will receive $3,000 in rent per year. Assume that the value of this showroom does not depreciate over the year. Also, if Jake does not operate this guitar business, he can work as an accountant, receive an annual salary of $20,000 with no additional monetary costsIr and rent out his showroom at the $3,000 per year rate. No other costs are incurred in running this guitar business. Identify each ofjake's costs in the following table as either an implicit cost or an explicit cost of selling guitars. Implicit Cost Expliclt Cost The salary Jake could earn if he worked as an accountant O O The wholesale cost for the guitars that Jake pays the manufacturer O O The rental income Jake could receive if he chose to rent out his showroom O O O O The wages and utility bills that Jake pays Complete the following table by date-mining Jake's accounting and economic prot of his guitar business. 4. Various measures of cost Douglas Fur is a small manufacturer of fake-fur boots in Philadelphia. The following table shows the company's total cost of production at various production quantities. Fill in the remaining cells of the following table. Quantity Total Cost Marginal Cost Fixed Cost Variable Cost Average Variable Cost Average Total Cost (Pairs) (Dollars) (Dollars) (Dollars) (Dollars) (Dollars per pair) (Dollars per pair) 0 120 200 N 240 285 340 UT 425 6 540 On the following graph, plot Douglas Fur's average total cost (ATC) curve using the green points (triangle symbol). Next, plot its average variable cost (AVC) curve using the purple points (diamond symbol). Finally, plot its marginal cost (MC) curve using the orange points (square symbol). (Hint: For ATC and AVC, plot the points on the integer; for example, the ATC of producing one pair of boots is $200, so you should start your ATC curve by placing a green point at (1, 200). For MC, plot the points between the integers: For example, the MC of increasing production from zero to one pair of boots is $80, so you should start your MC curve by placing an orange square at (0.5, 80).) Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically.200 A 175 ATC 150 125 AVC 100 COSTS (Dollars per pair) MC 75 50 25 0 2 3 5 6 0 1 QUANTITY (Pairs of boots)