Crane Company incurs the following costs to produce 8500 units of a subcomponent: Direct materials $7140 Direct labor 9605 Variable 10710 overhead Fixed overhead 16200 An outside supplier has offered to sell Crane the subcomponent for $2.85 a unit. If Crane could avoid $3000 of fixed overhead by accepting the offer, net income would increase (decrease) by O $(740). O $(5465). $230. O $6230.