The Cupcake Heaven Factory plans to open a new retail store in Seattle, Washington. The store will sell specialty cupcakes for $6 per cupcake (each cupcake has a variable cost of \$2.) The company is negotiating its lease for the new store. The landlord has offered two leasing options: 1) a lease of $5,000 per month; or 2) a monthly lease cost of $2,000 plus 10% of the company's monthly sales revenue. Requirements 1. If the Cupcake Heaven Factory plans to sell 4,400 cupcakes a month, which lease option would cost less each month? Why? 2. If the company plans to sell 6,500 cupcakes a month, which lease option would be more attractive? Why? Requirement 1. If the Cupcake Heaven Factory plans to sell 4,400 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, VCU= Variable costs per unit) ( VCU (option 1) Units) + FC (option 1) =(VCU (option 2) Units) + FC (option 2)