I calculated my answers wrong and I still can not figure them out. I just need h

Question

I calculated my answers wrong and I still can not figure them out. I just need help with the blanks that have ? marks. thank you

You are a newspaper publisher. You are in the middle of a one-year rental contract for your factory that requires you to pay $500,000 per month, and you have contractual labor obligations of $1,250,000 per month that you can’t get out of. You also have a marginal printing cost of $0.25 per paper as well as a marginal delivery cost of $0.10 per paper.

If sales fall by 20 percent from 1,000,000 papers per month to 800,000 papers per month, what happens to the AFC per paper?

Explanation / Answer

AFC per paper rises from $1.75 per paper to $ 2.19 per paper. (Explanation: (500000+1250000)/1000000)

MC does not change

The amount increases from $2.10 per paper to $2.54 per paper.                                                                        Explanation: Total costs= 1,750,000 + 0.35*800,000= $2,030,000, divided by 800,000 papers= $2.54 per paper
Before that, total costs= 1,750,000+ 0.35*1000000= $2,100,000 divided by 1,000,000= $2.10 per paper

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