Chafford, Inc. currently manufactures 2,000 subcomponents in one of its factories. The unit costs to produce the subcomponents are: Per unit $ 66 100 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Total unit cost 78 93 $337 Due to a labor strike, Chafford is considering purchasing the subcomponents from an outside supplier for $252 per unit. The union is demanding a 25% increase in pay for direct labor. Fixed overhead is not avoidable. How much could Chafford increase their pay before it would be more advantageous to purchase the subcomponents from the outside supplier? Multiple Choice 5% O 8% O O 50% O 32%