Novak has recently started to manufacture RecRobo, a three-wheeled robot that can scan a home for fires and gas leaks and then transmit this information to a mobile phone. The cost structure to manufacture 19,900 RecRobos is as follows: Direct materials ($45 per robot) Cost $895,500 Direct labour ($25 per robot) 497,500 Variable overhead ($7 per robot) 139,300 Allocated fixed overhead ($27 per robot) 537,300 Total $2,069,600 Novak is approached by Page Inc., which offers to make RecRobo for $79 per unit or $1,572,100. Using incremental analysis, determine whether Novak should accept this offer under each of the following independent assumptions: (1) Assume that $338,300 of the fixed overhead cost is avoidable. (If an amount reduces the net income then enter with a negative sign preceding the number e.g. -15,000 or parenthesis, e.g. (15,000). While alternate approaches are possible, irrelevant fixed costs should be included in both options when solving this problem.)