Fruit Basket Company manufactures fruit baskets. The basket component, not including the fruit, is made in-house. Details of the baskets are as follows: A foreign factory has offered to supply Fruit Basket Company with ready-made baskets for a price of $13 per basket. Assume that Fruit Basket Company's fixed costs are unavoidable, but that Fruit Basket Company could use the vacated production facilities to earn an additional $8500 of profit per month. If Fruit Basket Company decides to outsource, monthly operating income will increase by $23,700 $16,000 $2900 $8500