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Ivanhoe has recently started to manufacture RecRobo, a three$-$wheeled robot that can scan a home for fires and gas leaks and then transmit this information to a mobile phone. The cost structure to manufacture $20,000$ RecRobos is as follows:CostIvanhoe is approached by Duffy Dog Inc., which offers to make RecRobo for $$69$ per unit or $$1,380,000.\backslash$deg Type here to search$14\backslash$deg C Sunny $^$enovoDirect materials $($$$42$ per robot$)$$$840,000$Direct labour $($$$27$ per robot$)540,000$Variable overhead $($$$4$ per robot$)80,000$Allocated fixed overhead $($$$20$ per robot$)400,000$Total$$1,860,000$Using incremental analysis, determine whether Ivanhoe should accept this offer under each of the following independentassumptions:$(1)$ Assume that $$240,000$ of the fixed overhead cost is avoidable. $($If an amount reduces the net income then enter with a negative sign preceding the number e$.$g$.-15,000$ or parenthesis, e$.$g$.(15,000).$ While alternate approaches are possible, irrelevant fixed costs should be included in both options when solving this problem.$)$MakeBuyNet IncomeIncrease $($Decrease$)$Should the offer be accepted?$-/4(2)$ Assume that none of the fixed overhead is avoidable. However, if the robots are purchased from Duffy Dog Inc., Ivanhoe can use the released productive resources to generate additional income of $$140,000.($If an amount reduces the net income then enter with a negative sign preceding the number e$.$g$.-15,000$ or parenthesis, e$.$g$.(15,000).$ While alternate approaches are possible, irrelevant fixed costs should be included in both options when solving this problem.$)$MakeBuyNet IncomeIncrease $($Decrease$)$Should the offer be accepted?

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