Cullumber Company must decide whether to make or buy some of its components. The costs of producing $69,800$ switches for its

generators are as follows.

Instead of making the switches at an average cost of $$2\mathrm{.}97($$$207,30669,800),$ the company has an opportunity to buy the switches

at $$2\mathrm{.}74$ per unit. If the company purchases the switches, all the variable costs and one$-$fourth of the fixed costs will be eliminated.

$($a$)$

Your answer is correct.

Prepare an incremental analysis showing whether the company should make or buy the switches. $($Enter negative amounts using

either a negative sign preceding the number e$.$g$.-45$ or parentheses e$.$g$.(45).)$

$($b$)$

Would your answer be different if the released productive capacity will generate additional income of $$48,746?($Enter negative

amounts using either a negative sign preceding the number e$.$g$.-45$ or parentheses e$.$g$.(45).)$