• respond to the below prompts for this scenario about short-run/long-run cost: A provider offers the following three different monthly mobile phone plans.
  • • Plan 1: $5 per month plus $1.25 per call/text.
    • Plan 2: $15/month plus $0.75 per call/text.
    • Plan 3: $35/month plus $0.50 per call/text.
  • For each plan, write out the equation for the total monthly cost in terms of the number of calls/texts made per month.
  • Graph each cost equation on the same diagram (hint: let number of calls vary from zero to 120 calls/texts per month).
  • If you expected to make an average of 60 calls/texts per month, which plan should you choose? Explain why with the aid of your diagram.
  • Under what conditions would you choose plan 1? Explain using the aid of your diagram.