Production Costs Analysis Assignment Total: 20 points 1. A firm has $60 xed costs and variable costs as indicated in the table below. Complete the table: Quantity Total Total Average Average . gamut '23:: :zgtb'e I33? '23:: game tiara; 0 $_ $0 $_ $_ $_ $ $ 1 ____ 45 ____ ____ ____ ____ ____ 2 ____ 85 ____ ____ 3 ____ 120 ____ ____ 4 ____ 150 ____ ____ 5 ____ 185 ____ ____ ____ ____ ____ 6 ____ 225 ____ ____ 7 ____ 270 ____ ____ 8 ____ 325 ____ ____ 9 390 10 455 2. Following the sudden and unexpected leave of absence of the Fun n' Game's accountant, you are called on to ll in the missing entries. The Company's cost data have been nartiall entered in the table below. Electronic Games Sold (a) What are Jane's total revenues (Price x Quantity)? (b) What are Jane's explicit costs? (c) What is her accounting profit? (d) What is her economic profit (or loss)?3. Consider the following (short-run) production function relating labor input to output. Note that the firm has fixed inputs, for which it pays $30 regardless of the output level. Labor input costs $10 per hour. Output Labor Fixed MPL Variable Total Marginal (Q) (hours) Cost Cost Cost Cost 0 0 $30 40 2 70 4 90 6 100 8 105 10 a) Calculate the Marginal (Physical) Product of Labor, MPL, in the table above. Does this firm's production exhibit diminishing returns to labor input? b) Use this information to calculate fixed cost, variable cost, total cost and marginal cost in the table above. 4. Jane quit her job at AT&T where she earned $29,000 a year. She cashed in $40,000 in corporate bonds that earned 10% interest annually to buy a mini-bus. Jane has decided to buy the mini-bus and set up a commuter service between Lincoln and Omaha. There are 1000 people who will pay $400 a year each for the commuter service; $280 from each person goes for gas, maintenance, insurance, depreciation, etc