X Company is considering buying a part next year that they currently make. A company has offered to supply it for $13.15 per unit. This year's production costs for 3,400 units were as follows:

		Per-Unit	Total
Direct materials		$3.76	$12,784
Direct labor		3.01	10,234
Total overhead		8.30	28,220
Total costs		$15.07	$51,238

$14,620 of total overhead is fixed. If X Company chooses to buy the part, it will avoid fixed costs of $8,187.

1. If X Company buys the part next year instead of making it, and production is expected to remain at 3,400 units, it will save

2. If X Company makes the part next year instead of buying it, and production next year is expected to be 3,800 units, it will save