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FMM Incorporated manufactures a single product and has the capacity to produce 1,250,000 units of the product per year. Currently FMM produces 935,000 units annually

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FMM Incorporated manufactures a single product and has the capacity to produce 1,250,000 units of the product per year. Currently FMM produces 935,000 units annually and is thinking about decreasing production to 720,000 units next year due to weaker demand. Assuming all production levels are within the relevant range, how will this change in production volume affect total manufacturing costs and manufacturing cost per unit at FMM Incorporated? Total manufacturing costs will decrease and unit manufacturing costs will increase Total manufacturing costs will decrease and unit manufacturing costs will stay the same Total manufacturing costs will stay the same and unit manufacturing costs will stay the same Total manufacturing costs will stay the same and unit manufacturing costs will increase The answer cannot be determined from the information provided

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