The following information was collected from the accounting records and production data for the year ending December $31,2020.$

$8,000$ units of CISCO were produced in the Machining Department.

Variable manufacturing costs applicable to the production of each CISCO unit were:

direct materials $$4\mathrm{.}97,$ direct labor $$4\mathrm{.}34,$ indirect labor $$0\mathrm{.}42,$ utilities $$0\mathrm{.}36.$

Fixed manufacturing costs applicable to the production of CISCO were:

All variable manufacturing and direct fixed costs will be eliminated if CISCO is purchased. Allocated costs will not be eliminated if

CISCO is purchased. So if CISCO is purchased, the fixed manufacturing costs allocated to CISCO will have to be absorbed by other

production departments.

The lowest quotation for $8,000$CISCO units from a supplier is $$81,570.$

If CISCO units are purchased, freight and inspection costs would be $$0\mathrm{.}37$ per unit, and receiving costs totaling $$1,300$ per year

would be incurred by the Machining Department.

$($a$)$ Prepare an incremental analysis for CISCO. $($Enter negative amounts using either a negative sign preceding the number e$.$g$.-45$ or

parentheses e$.$g$.(45).)$