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solve soon Han Products manufactures 45,000 units of part 5-6 each year for...

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Han Products manufactures 45,000 units of part 5-6 each year for use on its production line At this level of activity, the cost per unit for part S-6 is as follows: $5.00 Direct materials Direct labour Variable overhead Fixed overhead Total cost per part 11 00 4 00 9 90 $29 90 An outside supplier has offered to sell 39,500 units of part S-6 each year to Han Products for $26.50 per part If Han Products accepts this offer the facilities now being used to manufacture part 5-6 could be rented to another company at an annual rental of $96,000 However, Han Products has determined that 30% of the fixed overhead being applied to part 5-6 will be avoided if part 5-6 is purchased from the outside supplier Required: 1. What is the net dollar advantage or disadvantage of accepting the outside supplier's offer? (Round "Total costs" and final answer to the nearest whole dollar amount.)

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