Instant Enterprises manufactures one of the components used to assemble its main company product Specialty Products, Inc has offered to make the component at a cost of $1250 per unit Instant Enterprises current costs $1575 per unit of the component based on the 125,000 components that instant Enterprises currently produces Read the requirements This current cost per unit is based on the (Click the icon to view the information None of Instant Enterprises forced costs wil be used to build a new product. This new Requirement 1. If Instant Enterprises outsources the manufacturing of the component wil operating income increase or decrease? By how much? (Enter a for any zero ho make exceeds the cost to buy Incremental Analysis Make Outsource Data table Outsourcing Decision Component Component Difference Vanable costs Direct material per unit Plus Fixed costs Direct labor per unit Total cost of 125,000 components Variable manufacturing overhead per unit Less Profit from another product Fixed manufacturing overhead per unit Netcost Total manufacturing costs per unit alty Products, inc unit of the This current cost per unit is based on the following Calculations m Click the icon to view the information None o instant Enterprises forced costs will be eliminated the component is outsourced. However, the red capacity could be used to build a new product. This new product would be expected to general $27.000 of contribution margin per year e increase or decrease by how mucho Enora o for any zoro balances so ammers aan of parentes in de brunos caluma uthen this conte - X Data table $ Direct material per unit Direct labor per unit Variable manufacturing overhead per unit. Fixed manufacturing overhead per unit Total manufacturing costs per unit 0.25 1.50 1.75 15.15 Print Done