Connie produces dog sofas in a variety of sizes and designs. Each of Connie's dog sofas has a memory foam interior and a bedding area of stainresistant, ComfortPlus sheepskin. Recently, Connie has been approached by Glen J. with a proposal to provide Connie with all the memory foam interiors for her large dog sofas at a price of $6.20. Connie currently produces the large memory foam inserts with a total unit cost of $6.88, comprising the following costs:

Direct materials$1.95

Direct labor$1.74

Variable overhead$2.12

Fixed overhead$1.07

If the variable costs of production can be avoided, should Connie accept Glen's offer?