Grandpa's Favorite manufactures rice, wheat, and oat cereals. Shark Company has approached Grandpa's with a proposal to sell the company the rice cereals at a price of $22,000 for 20,000 pounds. The following costs are associated with production of 20.000 pounds of rice cereal:

Direct material $13,000 Direct labor 5,000 Manufacturing overhead 7,000 Total $25,000 The manufacturing overhead consists of $2,000 of variable costs with the balance being allocated fixed costs. Should Grandpa's make or buy the rice cereal? A) Buy them to save $4,000. B) Continue to make them because the incremental cost of buying is $22,000. C) Continue to make them because the incremental cost of buying is $2,000. D) Buy them to save $2,000.