Production and Cost 1. Mike's Widgets produces widgets and his production function for these widgets is given by the equation: W = 2K-LS where Wis widgets, K is capital, and L is labor. Mike's Widgets uses only capital and labor to produce the widgets. In the short run, Mike's Widgets capital is equal to 4 units. Mike's Widgets pays $10 per unit of capital and $20 per unit of labor. Use this information to answer this set of questions. Hint: you will find it helpful to use Excel to do this set of questions. a. In the short run, what is the fixed cost associated with widget production? b. For the short run, write an equation for Mike's Widgets variable cost of widget production. c. For the short run, write an equation for Mike's Widgets total cost of production. d. Complete the following table given the above information. All calculations should be rounded to two places past the decimal. (Hint: this is where you will want to start using Excel.) L K W MPL VC FC IC AVC AFC ATC MC 0 1 4 16 25 36 49 64 81 100