Blossom Bicycle Company manufactures its own seats for its bicycles. The company is currently operating at $100\%$ capacity. Variable manufacturing overhead is charged to production at the rate of $60\%$ of direct labor cost. The direct materials and direct labor cost per unit to make the bicycle seats are $$8$ and $$9,$ respectively. Normal production is $51,000$ bicycles per year.

A supplier offers to make the bicycle seats at a price of $$21$ each. If the bicycle company accepts this offer, all variable manufacturing costs will be eliminated, but the $$30,600$ olsfixed manufacturing overhead currently being charged to the bicycle seats will have to be absorbed by other products.

$($a$)$

Prepare the incremental analysis for the decision to make or buy the bicycle seats. $($Enter negative amounts using either a negative sign preceding the number e$.$g$.-45$ or parentheses e$.$g$.(45).$ Do not leave any field blank. Enter $0$ for the amounts.$)$

$\backslash$table$[[,$Met Inco$],[$Increase $($De$,]]$

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