Cheong Automobile Company fabricates automobiles. Each vehicle includes one water?pump, which is currently made inminus

?house. Details of the water pump assembly are as?follows:

Volume

1 comma 300

1,300

units per month

Variable cost per unit

$ 11.50

$11.50

per unit

Fixed costs

$ 10 comma 000

$10,000

per month

An Indonesian factory has offered to supply Cheong Automobile Company with readyminus

?made units for a cost of $ 15.00

$15.00 for each water pump. Assume that?Cheong's fixed costs are unavoidable and that Cheong will not be able to use the excess capacity in any profitable manner. If Cheong decides to?outsource, monthly operating income will?________.