0 HGummy Land Candies manufactures jaw-breaker candies in a fully automated process. The machine that produces candies was purchased recently and can make 5,000 per month. The machine costs $6,500 and is depreciated using straight line depreciation over 10 years assuming zero residual value. Rent for the factory space and warehouse and other fixed manufacturing overhead costs total $1,200 per month. Gummy Land currently makes and sells 3,900 jaw-breakers per month. Gummy Land buys just enough materials each month to make the jaw-breakers it needs to sell. Materials cost 40 cents per jaw-breaker. Next year Gummy Land expects demand to increase by 100%. At this volume of materials purchased, it will get a 10% discount on price. Rent and other fixed manufacturing overhead costs will remain the same. Nam Due Read the requirements Last Requirement 1. What is Gummy Land's current annual relevant range of output? Curr Gummy Land's current annual relevant range of output is 0 to 60,000 jaw-breakers Atte Requirement 2. What is Gummy Land's current annual fixed manufacturing cost within the relevant range? What is the annual variable manufacturing cost? Gummy Land's current annual fixed manufacturing costs Gummy Land's current annual variable manufacturing costs $ 15,050 $ 18,720 Requirement 3. What will Gummy Land's relevant range of output be next year? How if at all, will total annual fixed and variable manufacturing costs change next VE year? Assume that if it needs to Gummy Land could buy an identical machine at the same cost as the one it already has. If the demand increases by 100%, annual production will have to increase to this amount of jaw-breakers next year to meet the expected increase 93,600 Gummy Land has two options: (e) 3 This coul Terms of or (b) Help me solve this Etext pages Get more help- Clear all Check answer 3 (bod nufactures jaw-breaker candies in a fully automated process. The machine that produces candies was purchased Chine costs $6,500 and is depreciated using straight line depreciation over 10 years assuming zero residual value. fixed manufacturing overhead costs total $1,200 per month. Gummy Land currently makes and sells 3,5 jaw-bre ough materials each month to make the jaw-breakers it needs to sell. Materials cost 40 cents per jaw-breaker. Ne se by Requirements - anuf What is Gummy Land's current annual fixed manufacturing cost within the relevant range? What is the annual variable manufacturing cost? 1. What is Gummy Land's current annual relevant range of output? Summ 2. nual r Summ nual f nual Gum eds to by 100 increase 3. What will Gummy Land's relevant range of output be next year? How if at all, will total annual fixed and variable manufacturing costs change next year? Assume that if it needs to Gummy Land could buy an identical machine at the same cost as the one it already has Print Done 93,600 ma ct