Clifford, Incorporated currently manufactures $2,000$ subcomponents in one of its factories. The current unit costs to produce the subcomponents are:

Cost per Unit

Direct materials $ $60$

Direct labor $100$

Variable manufacturing overhead $75$

Fixed manufacturing overhead $90$

Total unit cost $ $325$

Due to a labor strike, Clifford is considering purchasing the subcomponents from an outside supplier for $$250$ per unit rather than paying the $10\%$ increase in direct labor costs demanded by the union. No portion of fixed overhead is avoidable. If Clifford purchases the subcomponent from the outside supplier, how much will profit differ from what it would be if it manufactured the subcomponents with the increase in direct labor cost?

Multiple Choice

$$30,000$ less

$$20,000$ less

$$10,000$ less

$$20,000$ more