Kirsten Corporation manufactures 100,000 units per year of a part called a B345 basket for use in one of its products. Data for unit production costs for the B345 basket are as follows:
   
direct materials                                   0.15
direct labor                                          0.10
variable manufacturing overhead    0.13
fixed cost of manufacturing              0.24

total manufacturing cost per unit    0.62

An outside vendor has offered to sell Kirsten Corporation all the B345 baskets it needs. If Kirsten Corporation were to decide to stop manufacturing B345 baskets, 25% of the above mentioned fixed manufacturing overhead could be avoided.

Required:

Assume that Kirsten Corporation has no alternative use for the facility currently engaged in the production of B345 gaskets. If the outside vendor offers to sell the gaskets for $0.46 each, should Kirsten Corporation accept the offer? (Fully support your answer with the appropriate calculations
directly)