then transmit this information to a smartphone. The cost structure to manufacture $20,900$ Tri$-$Robos is as follows.

Cost

Direct materials $($$$52$ per robot$)$ $$1,086,800$

Direct labor $($$$42$ per robot$)877,800$

Variable overhead $($$$7$ per robot$)146,300$

Allocated fixed overhead $($$$29$ per robot$)606,100$

Total $$2,717,000$

Jobs is approached by Tienh Inc., which offers to make Tri$-$Robo for $$119$ per unit or $$2,487,100.$

Following are independent assumptions.

$($a$1)$

Your answer is partially correct.

Assume that $$405,000$ of the fixed overhead cost can be avoided. $($Enter negative amounts using either a negative sign preceding the number e$.$g$.-45$ or parentheses e$.$g$.(45).)$

Make Buy Net Income

Increase

$($Decrease$)$

Direct materials $enter direct materials in dollars

$1086800$

Correct answer $enter direct materials in dollars

Correct answer $enter direct materials in dollars

$1086800$

Correct answer

Direct labor enter direct labor in dollars

$877800$

Correct answer enter direct labor in dollars

Correct answer enter direct labor in dollars

$877800$

Correct answer

Variable overhead enter variable overhead in dollars

$146300$

Correct answer enter variable overhead in dollars

Correct answer enter variable overhead in dollars

$146300$

Correct answer

Fixed overhead enter fixed overhead in dollars

$606100$

Correct answer enter fixed overhead in dollars

$606100$

Incorrect answer enter fixed overhead in dollars

$405000$

Correct answer

Purchase price enter the purchase price in dollars

Correct answer enter the purchase price in dollars

$2487100$

Correct answer enter the purchase price in dollars

$(2487100)$

Correct answer

Total annual cost $enter total annual cost in dollars

$3092000$

Incorrect answer $enter total annual cost in dollars

$3093200$

Incorrect answer $enter total annual cost in dollars

$28800$

Correct answer

Using incremental analysis, determine whether Jobs should accept this offer.