Hungry Like the Wolf, Inc. currently makes 1,000 subcomponents a year in one of its factories. The production costs per unit are provided below: Per Unit Direct Materials $25 Direct Labor $10 Variable Manufacturing Overhead $15 Fixed Manufacturing Overhead $20 Total Unit Cost $70 Fixed Manufacturing Overhead would not be avoidable. An outside supplier has offered to provide Hungry Like the Wolf, Inc. the 1,000 subcomponents for $65 per unit. Suppose Hungry Like the Wolf, Inc. could use the space in its factory to produce another product that would add $50,000 in contribution margin. Which of the following would be true? Purchasing the components from the supplier would cost the same as making them. Hungry Like the Wolf, Inc. should continue to make the subcomponents. Purchasing from the outside supplier would decrease income by $35,000 O Purchasing from the outside supplier would increase income by $35,000