1.	Prepare a schedule of variable, fixed, and total manufacturing costs for each account category in 2018. Estimate total manufacturing costs for 2018.
2.	Calculate Gower's total manufacturing cost per unit in 2017, and estimate total manufacturing cost per unit in 2018.
3.	How can you obtain better estimates of fixed and variable costs? Why would these better estimates be useful to Gower?

Gower, Inc., a manufacturer of plastic products, reports the following manufacturing costs and account anaysis classification for theGawer, Inc., praduced 77,500 units of product in 2017. Gower's management is estimating costs for 2018 an the basis of 2017 year r ended December 31, 2017 numbers. The follawing additional information is available for 2018. (Click the icon to see the addational information.) Read the requiraments Click the icon to see the account information. Requirement 1. Prepare a schedule of variable, fixed, and total manufacturing costs for each account category in 2018. Esbimate total manufacturing costs for 2018 To assist you, begin by selecting the formula to calculate the variable cost for each account in 2018. 2017 Variable % of cost 2018 Variable unit Total cost Total units prod. 100% + % increase cost in 2018 Now calculate the variable unit cost in 2018. Round the unit cost to the nearest cent, Complete all answer boxes. If an account does not have a variable unit cost, enter 0.) Variable unit Data Table More Info Account Direct materials Direct manufacturing labor Power Supervision labor Materials-handling labor Maintenance labor cost in 2018 Direct materials prices in 2018 are expected to increase by 4% compared with 2017 Under the tarms of the labor contract, direct manufacturing labor wage rates are expected to increase by 4% in 2018 compared with 2017 a. Account Direct materials Direct manufacturing labor Power Supervision lab Materia's-handling labor Maintenance labor Classification Amount All variable Al variable 25% variable 60% variable 50% variable 0% variable 0% variable All varable271,250 93,750 9,375 31,000 62,000 69,750 88,000 115,000 b. c. Power rates and wage rates for supervision, materials handling, and maintenance are not expected to d. Depreciation costs are expected to increase by 7%, and rent property taxes, and administration costs e.Gower expects to manufacture and sell 82,500 units in 2018 change from 2017 to 2018. are expected to increase by 9%. Rent, prop. taxes, and admin. Print Done Rent, property taxes, and administration Print Done Enter any number in the edit fields and then click