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( 11096 ) Udllery Baxter Corp cu factories. The unit costs to produce are rrently makes 10,000 subcomponents a year in one of i Per

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( 11096 ) Udllery Baxter Corp cu factories. The unit costs to produce are rrently makes 10,000 subcomponents a year in one of i Per unit S25 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead 15 20 $70 Total unit cost An outside supplier has offered to provide Baxter Corp with the 10,000 subcomponents at a $65 per unit price. If Baxter Corp accepts the outside offer, what will be the effect on short-term profits? $200,000 increase $150,000 decrease No change

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