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A company is considering outsourcing one of its administrative departments. Salaried professionals that earn $430,000 would be terminated; administrative assistants that earn $144,000 would be

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A company is considering outsourcing one of its administrative departments. Salaried professionals that earn $430,000 would be terminated; administrative assistants that earn $144,000 would be transferred elsewhere within the company. Departmental overhead is expected to decrease by $32,000 and $21,000 of corporate overhead, reviously allocated to the department, would be re-allocated to other departments. If the company can obtain the administrative services needed locally for $450,000, how much would the company benefit by outsourcing? $12,000. $43,000. $156,000. $187,000. Nothing, because it would be cheaper to keep the department open

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