Buddy Pets has recently started to manufacture talking toy pets. The cost structure to manufacture 13,700 of these toy pets is as follows:

Direct materials ($32 per pet)		$438,400
Direct labour ($26 per pet)		356,200
Variable overhead ($13 per pet)		178,100
Allocated fixed overhead ($24 per pet)		328,800
Total		$1,301,500

Buddy Pets is approached by Maxum Inc., which offers to make the toy pets for $84 per unit. Using incremental analysis, determine whether Buddy Pets should accept this offer under each of the following independent assumptions:

Prepare an incremental analysis. Assume that $164,400 of the fixed overhead cost (in making 13,700 of the toy pets) is avoidable. (Enter savings with a negative sign preceding the number e.g.-15,000 or parenthesis , eg. (15,000).) Cost Make Buy Cost (Saving) $ $ $ $ $ Total annual cost