Gower, Inc., a manufacturer of plastic products, reports the following manufacturing costs and account analysis classification for the year ended December 31, 2020.

Gower,Inc., produced 72500 units of product in 2020. Gower's management is estimating costs for 2021 on the basis of 2020 numbers. The following additional information is available for 2021.

1.	Prepare a schedule of variable, fixed, and total manufacturing costs for each account category in 2021.Estimate total manufacturing costs for 2021.
2.	Calculate Gower's total manufacturing cost per unit in 2020, and estimate total manufacturing cost per unit in 2021.
3.	How can you obtain better estimates of fixed and variable costs? Why would these better estimates be useful to Gower?

a. Direct materials prices in 2021 are expected to increase by 8% compared with 2020 . b. Under the terms of the labor contract, direct manufacturing labor wage rates are expected to increase by 4% in 2021 compared with 2020 . c. Power rates and wage rates for supervision, materials handling, and maintenance are not expected to change from 2020 to 2021. d. Depreciation costs are expected to increase by 8%, and rent, property taxes, and administration costs are expected to increase by 10%. e. Gower expects to manufacture and sell 80,000 units in 2021 . Data table