Pick up one answer from each Dot ball has Two options:

1. have employees work overtime in order to meet demand
2. increase the estimated useful life of the machine
3. leave demand in excess of the current capacity unfilled

OR

1. hire additional workers to fulfill demand.
2. lower the sales price in order to increase demand.
3. purchase an additional machine in order to meet demand.

2. Dotball Candies manufactures jawbreaker candies in a fully automated process. The machine that produces candies was purchased recently and can make 4.600 per month. The machine costs $10,000 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 $1.400 per month. Dotball currently makes and sells 3.000 jawbreakers per month. Dotball buys just enough materials each month to make the jawbreakers it needs to sell Materials cost 40 cents per jaw-breaker. Next year Dotball 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 Read the requirements Requirement 1. What is Dotballs current annual relevant range of output? Dotball's current annual relevant range of output is 0 to 55.200 jawbreakers Requirement 2. What is Dotball's current annual fixed manufacturing cost within the relevant range? What is the annual variable manufacturing Comt? Dotbal's current annual fixed manufacturing costs $ 17.800 Dotball's current annual variable manufacturing costs $ 17.280 Requirement. What wil Dotball's relevant range of output be next year? How it at all, will total anual fixed and variable manufacturing costs change next year? Assume that it it needs to Dotall could buy an identical machine at the same cost as the one is already has the demand increases by 100%, annual production will have to increase to this amount of jaw.breakers next year to meet the expected increase 36.400 Dotball has two options: or m2 the company decides to go with option (a) the variable cost per unit produced wil (3) and the annual foxed costs will (4) Should the company dec to go with option() the variabile cont per unit produced wil (5) and the annual fixed costs will (6) 1: Requirements 1. What is Dotball's current annual relevant range of output? 2. What is Dotbal's current annual feed manufacturing cost within the relevant range? What is the annual variable manufacturing cost? What wil Dotballs relevant range of output be next year? How it at all, will total annual feed and variable manufacturing costs change next year? Assume that if it needs to Dotball could buy an identical machine at the same cost as the one it already has