iData Table - Direct material per unit... $ 5.25 Direct labor per unit. ... 5.75 Variable manufacturing overhead per unit 1.50 1.50 Fixed manufacturing overhead per unit. $ 14.00 Total manufacturing costs per unit.. Print Done Requirement 1. If Polo Enterprises outsources the manufacturing of the component, will operating income increase or decrease? By how much? (Enter Incremental Analysis Outsourcing Decision Variable costs Make Outsource Component Component Difference 0 Plus: Fixed costs Total cost of 110,000 components Less: Profit from another product 0 Net cost If Polo Enterprises outsources the manufacturing of the component, operating income will by Requirement 2. What is the maximum price per unit Polo Enterprises would be willing to pay if it outsources the component? Begin by identifying the basic formula that is used to determine the indifferent outsourcing cost per unit. Cost if making 110,000 components Cost if outsourcing 110,000 components Using the basic formula you determined above solve for the indifferent outsourcing cost per unit. (Round your answer to the nearest cent, $X.XX.) The maximum price per unit Polo Enterprises would be willing to pay if it outsources the component is per unit.