Mimi$$s Fixtures manufactures kitchen tiles in one plant, which has a practical capacity of $29,000$ tiles. The variable cost of the tile is $$9$ per unit, and the fixed costs of the plant are $$261,000$ annually. Current annual demand is $21,750$ tiles. Mimi bought the current plant because she expected that demand for the tiles would grow once her reputation was established.

Required:

a$.$ What cost per tile should the cost system report?

b$.$ What is the cost of excess capacity?

c$.$ How would your answers to requirements $($a$)$ and $($b$)$ change if the smallest tile manufacturing plant that one could build $($owing to technology$)$ was able to produce $29,000$ tiles?