Write a short analytical report (3 - 4 pages) on two topics: production function, cost function, and cost estimation and specifically address the following points:

1. Design a study of a production function for a steel mill and another one for a call center, which variables would you use, and what statistical method would you select for each function? In general, compare and contrast the production function for a product and one for a service center.
2. Comment briefly on the following methods of cost estimation:
   1. Engineering cost
   2. Survivorship principle