Sugarland Candies manufactures jaw-breaker candies in a fully automated process. The machine that produces candies was purchased recently and can make 4,800 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 $800 per month. Sugarland currently makes and sells 3,900 jaw-breakers per month. Sugarland buys just enough materials each month to make the jaw-breakers it needs to sell. Materials cost 10 cents per aw breaker Next year Sugar and expects demand to ncrease 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. Requirements 1. What is Sugarland's current annual relevant range of output? 2. What is Sugarland's current annual fixed manufacturing cost within the relevant range? What is the annual variable manufacturing cost? 3. What will Sugarland'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 Sugarland could buy an identical machine at the same cost as the one it already has Requirement 1. What is Sugarland's current annual relevant range of output? Sugarland's current annual relevant range of output is 0 to 57,600 jaw-breakers Requirement 2. What is Sugarland's current annual fixed manufacturing cost within the relevant range? What is the annual variable manufacturing cost? Sugarland's current annual fixed manufacturing costs $ Sugarland's current annual variable manufacturing costs S Requirement 3. What will Sugarland'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 Sugarland 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 jaw-breakers next year to meet the expected increase. Sugarland has two options: (a or (b) f the company decides to go with option (a), the variable cost per unit produced will Vand the annual fixed costs will VShould the company decide to go with option (b), the variable cost per unit produced will | and the annual fixed costs will