Methods of Estimating Costs: Account AnalysisThe accounting records for Miller Fixtures report the following production costs for the past year:Direct materials$210000Direct labor175000Variable overhead154000Production was 210000 units. Fixed manufacturing overhead was $240000.For the coming year costs are expected to increase as follows: direct materials costs by 20 percent excluding any effect of volume changes; direct labor by 4 percent; and fixed manufacturing overhead by 10 percent. Variable manufacturing overhead per unit is expected to remain the same.Requireda. Prepare a cost estimate for a volume level of 220000 units of product this year.b. Determine the costs per unit for last year and for this year.