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18. PhatCar Renovations buys each vehicle for $500, rebuilds the chassis for $300, installs a new $1,000 engine, and repaints it for $200. PhatCar is

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18. PhatCar Renovations buys each vehicle for $500, rebuilds the chassis for $300, installs a new $1,000 engine, and repaints it for $200. PhatCar is considering just buying vehicles for $1,500 each that have already been rebuilt with a new engine, and just doing the paint. Making the change would mean laying off 9 of the 20 workers in the shop, saving $50 per vehicle. What is the immediate difference in cost if they make the proposed change? ANSWER (5 POINTS)

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