Elena Martinez is a managerial accountant at Paibec Corporation. Paibec is under intense cost competition, and Martinez was asked to evaluate whether Paibec should continue to manufacture part MT-RF or purchase it from Marley Company in 2022. Marley had submitted a bid to supply the 38,000 MT-RF units that Paibec needs for 2022 at a price of $16.60 each. From 2021 plant records and interviews with Janice Liu, the plant manager, Martinez gathered the following information regarding Paibec's costs to manufacture 33,000 units of MT-RF in 2021: Direct materials $211,200 Direct labor 105,600 Plant space rental (fixed) 77,000 Equipment lease [fixed] 31,000 Other overhead Variable Fixed Total 109,890 134,310 $669,000