Auto Fast (AF) Company makes 40,000 motors to be used in the production of its sewing machines. The average cost per motor at this level of activity consists of Direct Materials Direct Lebour Variable Manufacturing Overhead Fixed Manufacturing Overhead $7.00 $5.60 $5.00 $445 An outside supplier recently began producing a comparable motor that could be used in the sewing machine. The price offered to AF Company for this motor is S17. if AF Company decides not to make the motors, there would be no other use for the production focilities, and total fixed factory overhead costs would not change. If AF Company decides to continue making the motor, how much higher or lower would net income be than if the motors are purchased from the outside suppler? Assume that direct labour a variable cost in this company Multiple Choice $24.000 lower $178.000 gher $276.000 igher $92.000 owe