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#1Continental Long Distance Telephone Service offers an optional package for in-state calling whereby each month the subscriber gets the first 50 min of in-state calls free, the next 100 min at $.25/min, and any additional time at the normal rate of $.50/min. Draw the budget constraint for in-state phone calls and the composite good for a subsciber with an income of $400/mo.#2For the Continental Long distance subsriber in #1, what is the opportunity cost of making an additional 20 min of calls if he currently makes a.) 40 min of calls each month? b.)140 min of calls each month?#22Your local telephone compan has offered you a choice between the following billing plans:Plan A: Pay $.05 per call.Plan B: Pay an initial $2/wk, which allows you up to 30 calls per week at no charge. Any calls over 30/wk cost $.05 per call.If your income is $12/wk and the composite good costs $1, graph your budget constraints for the composite good and calls nder the two plans.

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