answer all

Management of Malone Food Corporation is considering dropping its Chili product line. Data from the company's accounting system related to this line product appear below: Sales $720,000 Variable expenses $374,000 Fixed manufacturing expenses $245,000 Fixed selling and administrative expenses $209,000 Further investigation has revealed that $173,000 of the fixed manufacturing expenses and $150,000 of the fixed selling and administrative expenses are avoidable if the Chili product line is discontinued. What would be the increase (decrease) in net operating income if the Chili product line is discontinued? Vance Corporation uses Part B32 is used in its refrigerator line. The accounting team at Vance Corporation reports the unit product cost of producing the 12,000 units of part B32 each year are as follows: Per Unit Direct materials $8.70 Direct labor $2.70 Variable overhead $3.30 Supervisor's salary $1.90 Depreciation of special equipment $1.80 Allocated general overhead $6.00 An outside supplier has offered to make and sell part B32 to the Vance Corporation for $21.40 each. If this offer is accepted the supervisor's salary and all of the variable costs can be avoided. The special equipment used to make the part was purchased many years ago and has no salvage value or other use. The allocated general overhead represents fixed costs of the entire company. If the outside supplier's offer were accepted, 50% of these allocated general overhead costs would be avoided. Based on this data, the financial advantage (disadvantage), per unit, of purchasing the parts from the outside supplier would be