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Blossom Manufacturing incurs unit costs of $ 7 . 1 0 ( $ 5 . 1 0 variable and $ 2 . 0 0 fixed

Blossom Manufacturing incurs unit costs of $7.10($5.10 variable and $2.00 fixed) in making a sub-assembly part for its finished
product. A supplier offers to make 11,200 of the parts for $5.60 per unit. If it accepts the offer, Blossom will save all variable costs and
$1.00 of fixed costs.
Prepare an analysis showing the total cost savings, if any, that Blossom will realize by buying the part. (Round per unit answers to 2
decimal places, e.g.15.25. If an amount reduces the net income then enter with a negative sign preceding the number, e.g.-15,000 or
parenthesis, e.g.(15,000).)
Number of units:
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