Dipuisto$-2804$ Inc. manufactures radios at an annual production level of $50,000$ units. At this production level, the cost per unit for a radio is as follows:

Direct materials $$4\mathrm{.}00$

Direct labor $$5\mathrm{.}00$

Variable manufacturing overhead $$9\mathrm{.}00$

Supervisor's salary $$8\mathrm{.}00$

Other fixed manufacturing overhead $$9\mathrm{.}00$

Total cost per radio $$35\mathrm{.}00$

An outside supplier has offered to sell the radios to Dipuisto$-2804$ for $$18$ per unit. If Dipuisto$-2804$ accepts this offer, it can use the radio production space as a warehouse instead, replacing the warehouse it currently rents for $$80,000.$ If the radios are purchased from the outside supplier, $100\%$ of the supervisor's salary and $40\%$ of the other fixed manufacturing overhead costs can be eliminated.

What is the financial advantage of accepting the outside supplier$$s offer for Dipuisto$-2804?$

multiple choice

$$660,000$

$$750,000$

$$580,000$

$$930,000$