The Cupcake Heaven Factory plans to open a new retail store in Washington, DC. The store will sell specialty cupcakes for $5 per cupcake (each cupcake has a variable cost of $3.) The company is negotiating its lease for the new store. The landlord has offered wo leasing options: 1 a lease o $5,500 per month; or 2 a monthly ease cost o $2.500 pus % of he compa s month sales revenue. Requirements 1. If the Cupcake Heaven Factory plans to sell 9,400 cupcakes a month, which lease option would cost less each month? Why? 2. If the company plans to sell 12,000 cupcakes a month, which lease option would be more attractive? Why? Requirement 1. If the Cupcake Heaven Factory plans to sell 9,400 cupcakes a month, which lease option would cost less each month? Why? Begin by calculating the indifference point. Select the equation to determine the indifference point. (Abbreviations used: FC Fixed costs, VCUVariable costs per unit) (VCU (option 1) x Units) + FC (option 1)(VCU (option 2) x Units)+FC (option 2) The indifference point is cupcakes. Enter any number in the edit fields and then click Check