The variable cost of producing specialty value-added stainless-steel tubing varies according to the quantity produced per year. The variable cost is \(\$ 500\) per ton from 0 to 700 tons. Above this level, the variable cost is different. At this time, we are producing 600 tons per year, and the average cost per ton is \(\$ 800\). Next year, we anticipate ramping up production to 1,000 tons, and the projected average cost for all 1,000 tons will be \(\$ 710\) per ton.

a. What is the current fixed cost?

b. If the fixed cost holds constant next year, what is the variable cost of production for tons above 700 tons?