Wildhorse, 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 21.100 Tri-Robos is as follows Cost Direct materials ($49 per robot) Direct labor ($40 per robot) $1,033,900 844,000 Variable overhead ($7 per robot) 17.700 Allocated fixed overhead ($28 per robot) 590,800 Total $2,616,400 Wildhorse is approached by Tienh Inc., which offers to make Tri-Robo for $114 per unit or $2,405,400 Following are independent assumptions.