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Han Products manufactures 32,500 units of part 5-6 each year for use on its production line. At this level of activity, the cost per unit

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Han Products manufactures 32,500 units of part 5-6 each year for use on its production line. At this level of activity, the cost per unit for part S6 is as follows: Direct materials Direct labour Variable overhead Fixed overhead $ 3.75 9.75 2.75 9.15 Total cost per part $25.40 An outside supplier has offered to sell 32,500 units of part S 6 each year to Han Products for $22.75 per part. If Han Products accepts this offer, the facilities now being used to manufacture part S-6 could be rented to another company at an annual rental of $86,000. However, Han Products has determined that two-thirds of the fixed overhead being applied to part 6 would continue even if part S-6 were purchased from the outside supplier. Required: What is the net dollar advantage or disadvantage of accepting the outside supplier's offer? (Do not round intermediate calculations)

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