HW?

Concord Corporation incurs the following costs to produce 8800 units of a subcomponent: Direct materials $7392 9944 Direct labor Variable overhead 11088 Fixed overhead 16200 An outside supplier has offered to sell Concord the subcomponent for $2.85 a unit. If Concord could avoid $3000 of fixed overhead by accepting the offer, net income would increase (decrease) by $(1232) $6344 $15552) $344