Comfort Cruiser Company manufactures 100 luxury yachts per month. Included in each yacht is a compact media center. Comfort Cruiser manufactures the media center in - house. The company is considering the possibility of outsourcing the production of the media centers in order to close down some of its facilities and reduce the administrative costs. At present, the variable cost per unit is $275, and xed costs are $47,000 per month. Assume that if it outsources, xed costs could be reduced by 40%. The production manager advised the company to contract with a foreign supplier who offered a contract cost of $400 per unit. If it outsources the media center, how would that affect operating income? . WW 0 A. Operating income would increase by $18,800. 0 3. Operating income would decline by $6,300. 0 C. Operating income'would increase by $6,300. 0 D. Operating income would remain the same