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Please calculate the firm's and employee's payoffs in the following hypothetical scenarios.

Recall the following payoff formulas:

Firm payoff = (120 × production level) - wage

Employee payoff = wage - production cost

You may use the cost of production table provided below when calculating employee payoff.

Production Level0.10.20.30.40.50.60.70.80.91.0
Production Costs (Lira)01246810121518

Scenario 1

Suppose the agreed upon pay is 100 Lira and the chosen production level is 1.0.

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Scenario 2

Suppose the agreed upon pay is 40 Lira and the chosen production level is 0.4.

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