Calculate the expected cost savings (in total) if Delta requires 28,000 unites of P2Q2? (Round to the nearest $1.00)

10 QUESTION 2 Delta Company pays $4.50 per unit to buy P202, a part it requires for a product it manufactures, from a supplier. Delta has excess manufacturing capacity and is considering making P202 in-house. Delta estimates that producing P202 would cost $2.20 per unit for direct materials and $1.00 per unit for direct labor. Delta also estimates that variable manufacturing overhead would cost $0.50 per unit. Delta's manufacturing director estimates that they will incur an additional annual fixed cost of $20,000 to rent specialized equipment used to produce P202. Calculate the expected cost savings (in total) if Delta requires 28,000 units of P202? (Round to the nearest $1.00)