Provide the best response to the following. 1) Which is larger, economic profit or accounting profit? Explain your answer. 2) Consider a firm with the output (Q), Fixed Cost (FC), and Total Cost (TC). Q = 60 FC = $160 TC = $400 Q =72 FC = $160 TC = $480 Q = 80 FC = $160 TC = $560 Compute; . Variable cost (VC) . Average Fixed Cost (AFC) o Average Variable Cost (AVC) o Average Total Cost (ATC) The Various Measures of Cost: Caleb's Coffee Shop (1) (2) (3) (4) (5) (6) (7) (8) Output (cups of Total Cost Fixed Cost Variable Cost Average Fixed Average Variable Average Total coffee per hour) Cost Cost Cost Marginal Cost $3.00 $3.00 $0.00 0.30 1 3.30 3.00 0.30 $3.00 $0.30 $3.30 0.50 2 3.80 3.00 0.80 1.50 0.40 1 90 0.70 3 4.50 3.00 1.50 1.00 0.50 1.50 0.90 4 5.40 3.00 2.40 0.75 0.60 1.35 1.10 5 6.50 3 00 3.50 0.60 0.70 1.30 1.30 6 7.80 3.00 4 80 0.50 0.80 1.30 1.50 7 9.30 3.00 6.30 0.43 0.90 1.33 1.70 8 11.00 3.00 8.00 0.38 1.00 1.38 1.90 9 12.90 3.00 9.90 0.33 1.10 1.43 2.10 10 15.00 3.00 12.00 0.30 1.20 1.50 Column (1) in the table shows the number of cups of coffee that Caleb might produce, ranging from 0 to 10 cups per hour. Column (2) shows Caleb's total cost of producing coffee. Figure 3 plots Caleb's total-cost curve. The quantity of coffee [from column (1)] is on the horizontal axis, and total cost (from column (2)] is on the vertical axis. Caleb's total-cost curve has a shape similar to Chloe's. In particular, it becomes steeper as the quantity produced rises, which (as we have discussed) reflects diminishing marginal product