The cost of producing toy xylophones includes variable products cost ($4.50 per unit) and fixed product costs. Last year, when a company produced 39,000 xylophones, it incurred fixed product cost of $97,500. Last year, when a company produced $39,000 xylophone: it incurred fixed product cost of $97,500.

At this volume of activity, what was the total cost and per-unit cost of producing these Xylophones?

If the company incurred the same total fixed costs this year but was able to produce 48,750 xylophones, what is the total cost and per-unit cost of production this year?