Kate is a talented artist who sells hand-crafted goods on her website. Kate currently crafts and sells both crochet hats and embroidered sweaters. She spends 8 hours a day working on crafts. The following table gives different daily output scenarios depending on how much of her time is spent on each good. Hours Crafting Produced Choice (Crochet hats) (Embroidered sweaters) (Crochet hats) (Embroidered sweaters) A 8 4 O B 6 2 3 11 C 4 4 2 16 D 2 6 1 19 E 20 On the following graph, use the blue points (circle symbol) to plot Kate's initial production possibilities frontier (PPF). D SWEATERS 30 10 25 20 Intial PPF New PPF omework (Ch 02) EMBROIDERED SW 5 15 10 2 3 4 5 6 8 CROCHET HATS New PPT Suppose Kate is currently using combination D, producing one crochet hat per day. Her opportunity cost of producing a second crochet hat per day is per day. Now, suppose Kate is currently using combination C, producing two crochet hats per day. Her opportunity cost of producing a third crochet hat per day per day. is From the previous analysis, you can determine that as Kate increases her production of crochet hats, her opportunity cost of producing one more crochet hat Suppose Kate buys a new tool that enables her to produce twice as many crochet hats per hour as before, but it doesn't affect her ability to produce embroidered sweaters. Use the green points (triangle symbol) to plot her new PPF on the previous graph. Because she can now make more crochet hats per hour, Kate's opportunity cost of producing embroidered sweaters is j previously. it was