Emil Manufacturing incurs unit costs of $$7\mathrm{.}50($$$4\mathrm{.}50$ variable and $$3\mathrm{.}00$ fixed$)$ in making a sub$-$assembly part for its finished product. A supplier offers to make $10,000$ of the parts for $$5$ per unit. If it accepts the offer, Emil will save all variable costs and $$1$ of fixed costs.

Prepare an analysis showing the total cost savings, if any, that Emil will realize by buying the part.