J. Klompus, Inc., produces industrial machinery. J. Klompus has a machining department and a group of direct laborers called machinists. Each machinist is paid $25,000 and can machine up to 500 units per year. Klompus also hires supervisors to develop machine specification plans and to oversee production within the machining department. Given the planning and supervisory work, a supervisor can oversee three machinists, at most. Klompus's accounting and production history reveal the following relationships between units produced and the costs of direct labor and supervision (measured on an annual basis):

Units Produced	Direct Labor	Supervision
0500	$ 25,000	$ 40,000
5011,000	50,000	40,000
1,0011,500	75,000	40,000
1,5012,000	100,000	80,000
2,0012,500	125,000	80,000
2,5013,000	150,000	80,000
3,0013,500	175,000	120,000
3,5014,000	200,000	120,000

2. Suppose that the normal range of activity is between 2,400 and 2,450 units and that the exact number of machinists is currently hired to support this level of activity. Further suppose that production for the next year is expected to increase by an additional 400 units. If there is no increase, enter "0".

How much will the cost of direct labor increase?

How much will the cost of supervision increase?