Sheridan, Inc. has recently started the manufacture of Tri$-$Robo, a three$-$wheeled robot that can scan a home for fires and gas leaks and

then transmit this information to a smartphone. The cost structure to manufacture $20,700$ Tri$-$Robos is as follows.

Sheridan is approached by Tienh Inc., which offers to make Tri$-$Robo for $$115$ per unit or $$2,380,500.$

Following are independent assumptions.