One of the makeup kit models that Tiegs Corporation produces is targeted at professional women. The goal for Year 2 is to reduce direct materials usage per unit. No defective units are currently produced. Manufacturing conversion costs depend on production capacity defined in terms of makeup kits that can be produced. The industry market size for makeup kits increased 5% from Year 1 to Year 2. The following additional data are available for Years 1 and 2: What is the Tiegs Corporation cost effect of the growth component for conversion costs? Your 1 Your 2 Makeup kits pmduced and sold 850,030 935,000 Selling price $130 $175 Direct materials (kilograms) 340,000 364,650 Direct material. costs perkilogram $3] $52 Mamiactumg capacity (kits) 1.000.000 1.0541000 Total comm-Isiah costs $30,000,000 $34,650,!D0 Conversion costs per unite! capacity $3) $33