Bonita Industries incurs the following costs to produce 9800 units of a subcomponent: Direct materials $8232 Direct labor 11074 Variable overhead 12348 Fixed overhead 16200 An outside supplier has offered to sell Bonita the subcomponent for $3 a unit. If Bonita accepts the offer, by how much will net income increase (decrease)? $2254 $18454 $(2842) $(10094)

Current Attempt in Progress Bonita Industries incurs the following costs to produce 9800 units of a subcomponent: Direct materials $8232 Direct labor 11074 Variable overhead 12348 Fixed overhead 16200 An outside supplier has offered to sell Bonita the subcomponent for $3 a unit. If Bonita accepts the offer, by how much will net income increase (decrease)? $2254 O $18454 O $(2842) O $(10094) Save for Later Attempts: 0 of 1 used Submit