Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 40,000 parts is $141,000, which includes fixed costs of $70,000 and variable costs of $71,000. The company can buy the part from an outside supplier for $3.50 per unit, and avoid 30% of the fixed costs. Assume that factory space freed up by purchasing the part from an outside source can be used to manufacture another product that can be sold for $16,000 profit. If Blue Ridge Bicycles makes the part, what will its operating income be? $64,000 greater than if the company bought the part O B. $32,000 less than if the company bought the part $32,000 greater than if the company bought the part OD $173,000 greater than if the company bought the part You answered: A. $64,000 greater than if the company bought the part