A firm uses two inputs-labor (a variable factor) and capital (a fixed factor), to produce an output. Suppose the production technology displays increasing marginal product at first, then diminishing marginal product. a. (5 points) Draw the following 3 graphs: (1) the graph of the short-run production function, (2) the short-run total cost curve, and (3) a graph containing the average fixed cost curve, the average variable cost curve, the average cost curve and the marginal cost curve. b. (5 points) Suppose the cost of capital has gone up. As a result, the firm now has a higher fixed cost. What is the effect of this change on each curve in part (a)? [No need to re-draw those graphs; simply tell me whether a certain curve should shift up or shift down or remain unchanged.]