3 As the CEO of Hakoopian clothing company you want to decide whether to manufacture a particular product or outsource its production. Your business analysis team develops a spreadsheet model and uses Excel's What If analysis to analyze "Savings due to Outsourcing" based on different scenarios. The results below are provided to you as the CEO. M 1 Parameters 2 Outsourcing Cost per unit 4 Fixed Cost 4.50 Savings due to outsourcing per prod, volume Prod.Vel. $14.500.00 $ 25,000,00 10000 $21,500 5 Material cost per unit $ 2.15 20000 $18,000 6 Labor cost per unit $ 2.00 30000 $14,500 40000 $11.000 Model 50000 $7.500 9 Production Volume 60000 $4,000 10 70000 $500 11 Total Outsource Cost $ 135,000.00 80000 ($3,000) 12 90000 (56,500) 13 Total Fixed Cost $ 25,000.00 100000 ($10,000 14 Total Material Cost $ 64,500.00 15 Total Labor Cost $ 60,000.00 16 Total Cost $ 149,500.00 17 18 Savings due to outsourcing $ 14,500.00 19 The outsourcing cost per unit is $4.50 The amounts in parantheses are negative (loss) Left column represent production volume Right column represent "Savings due to outsourcing H Savings due to outsourcing per prod. volume and outsource cost per unit 14,500.00 $ 4.20 5 4.35 1 4.50 $ 4.65 5 4.30 10000 $24,500 $23,000 $21,500 $20,000 $18,500 30000 $24,000 $21,000 $18,000 $15,000 $12,000 $19,000 $14,500 30000 $23,500 $17,000 $11.000 40000 $23,000 $10,000 $5,500 55,000 151,000) $4,000 50 157,500) 55,000 ($14,000 50000 $22,500 $15,000 $7,500 $13,000 60000 $22.000 70000 521,500 $11,000 $500 (510,000 ($20,500) B0000 $21,000 $9,000 153,000) (515,000 ($2,000) 90000 $20,500 $7,000 156500) ($20.000 (533,500 100000 $20,000 $5,000 1510.000) ($25.000 (540000 The amounts in parantheses are negative (losti The first (left-most) column represents the production volume. The top row amounts represent "Outsourcing Cost per unit. The amount in each cell represent "Savings due to outsourcing Assuming that you outsource the production of 50,000 units and the company to which you outsource charges you $4.50 per unit, based on the results above, how much will be the savings (or loss) due to outsourcing? Note: Do not use the $ sign in your answer. For example, if there is a saving of $99, the answer is 991 Use a negative sign before the amount to show that it is a loss. For example, if there is a loss of $99, the answer is -99. If there is a saving of $99, then the answer is 99