St. Kilda Enterprises produces parts for the electronics industry. The production manager and cost analyst reviewed the accounts for the previous month and have provided an estimated breakdown of the fixed and variable portions of manufacturing overhead.

	Fixed				Variable				Total
Indirect materials	$	4,000			$	9,000			$	13,000
Indirect labor		2,500				16,500				19,000
Supervision		10,000				3,500				13,500
Depreciation		37,000				5,000				42,000
Maintenance		17,000				22,000				39,000
Total	$	70,500			$	56,000			$	126,500

Direct materials for the month amounted to $102,500. Direct labor for the month was $197,500. During the month, 12,500 units were produced.

Required:

a. No changes are expected in these cost relations next month. The firm has budgeted production of 16,250 units. Provide an estimate for total production cost for next month. b. Determine the cost per unit of production for the previous month and the next month.