please explain how to do the step in the last picture. Compute the production cost per unit under each plan. plese use the numbers provided in the pictures.

Sheridan Industries had sales in 2021 of $8,024,000 and gross profit of $1,298,000. Management is considering two alternative budget plans to increase its gross profit in 2022. Plan A would increase the unit selling price from $8 to $8.4. Sales volume would decrease by 148.000 units from its 2021 level. Plan B would decrease the unit selling price by $1. The marketing department expects that the sales volume would increase by 153.000 units. At the end of 2021, Sheridan has 47,000 units of inventory on hand. If Plan A is accepted, the 2022 ending inventory should be 41,000 units. If Plan B is accepted, the ending inventory should be equal to 71,000 units. Each unit produced will cost $1.50 in direct labor, $1.30 in direct materials, and $1.20 in variable overhead. The fixed overhead for 2022 should be $2.292.300.