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Kasey Company cafently produces a component that goes into its finished product Last year the company produced 20.000 units of the component with the cost
Kasey Company cafently produces a component that goes into its finished product Last year the company produced 20.000 units of the component with the cost per unit listed below Direct me Director Variable manufacturing overhead Fixed manufacturing over Total cost per unit Kasey anticipates heading 22,000 of the component in the coming year wan Fabec h s to provide the component for a unitat 4.0 Company decides tegutsource production of the component, all of the fixed manufacturing overhead will remain and will have to be covered by other products of Kasey decides to buy the componendon Morgan Fabricating what will be the result on Kasey Company s operating Income? Operating income will decrease by 56.600 Operating income will increase by $19.800 Operating income will increase by $6.000 Operating income wil decrease by $18,000
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