True Blue Apparel $($TBA$)$ manufactures plain white and$$ solid$-$colored T$-$shirts. Budgeted inputs and alternative dye information include the$$ following: TBA has the opportunity to switch from using the dye it currently uses to using an environmentally friendly dye that costs $ $1\mathrm{.}75$ per ounce. The company would still need $4$ ounces of dye per shirt. TBA is reluctant to change because of the increase in costs$($and decrease in$$ profit$),$ but the Environmental Protection Agency has threatened to fine the company $ $172900$ if it continues to use the harmful but less expensive dye. $1.$Given the preceding$$ information, would TBA be better off financially by switching to the environmentally friendly$$ dye? $($Assume all other costs would remain the$$ same.$)$

$2.$If TBA chooses to be environmentally responsible and switches to the new$$ dye, the changes in the process will allow production managers to implement Kaizen costing. If TBA can reduce fabric and labor costs each by $1\%$ per month on all the shirts it$$ manufactures, by how much will overall costs decrease at the end of $12$ months? $($Round to the nearest dollar for calculating cost$$ reductions.$)$

$3.$Refer to requirement $2.$ How could the reduction in material and labor costs be$$ accomplished? Are there any problems with this$$ plan?