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Huang Corporation makes 70,000 units per year of a part it uses in the products it manufactures. The unit product cost of this part is

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Huang Corporation makes 70,000 units per year of a part it uses in the products it manufactures. The unit product cost of this part is computed as follows: Variable manufacturing overhead 2.00 Fixed manufacturing overhead 16.00 Of the fixed overhead above, $6.00 of the fixed manufacturing overhead cost would continue even if the part were purchased from the outside supplier. This fixed manufacturing overhead cost would be applied to the company's remaining products. An outside supplier has offered to sell the company the part it needs for $37 a unit. What is the total annual advantage/disadvantage of buying the parts from the outside supplier? (Put a - sign in front of your number if it is a disadvantage.)

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