Clemente Inc. incurs the following costs to produce 10,000 units of a subcomponent: Direct materials $14,000 Direct labor 18,750 Variable overhead 21,000 Fixed overhead 27,000 An outside supplier has offered to sell Clemente the subcomponent for $4.75 a unit. If Clemente accepts the offer, by how much will net income increase (decrease)? $(14,750) $(4,750) $33,250 $6,250