Billot Telephone was formed in the 1940s to bring telephone services to remote areas of the US Midwest. The early equipment was quite primitive by today’s standards. All call were handled manually by operators, and all customers were on party lines. By the 1970’s, however, all customers were on private lines, ad mechanical switching devices handled routine local and long distance calls. Operators remained available for directory assistance, credit card calls and emergencies. In the 1990s Billot Telephone added local internet connections as an optional service to its regular customers. It also established an optional cellular service, identified as Home Ranger.

1. Using a unit level analysis, develop a graph with two lines representing Billot’s cost structure. (Be sure to label the axes and lines. You must develop the appropriate data to support the answers in your graph.)
   • In the 1940s
   • In the late 1990s