ABC Company manufactures machinery parts to be used in its various products. One of the parts manufactured is H12. The production cost per unit for H12 based on annual production requirement is as follows: A A Direct materials Direct labor Variable overhead Fixed overhead 4.50 3.00 2.00 3.50 A A Annual production requirement 35,000 units $ 70,000 of the total fixed overhead is direct fixed overhead and the remaining is common fixed overhead. An outside supplier has offered to sell the part to the company for: $ 10.00 a) Compute the annual impact on the company's net income as a result of buying the part from the outside supplier