Koko Company manufactures 20,000 units of R3 each year for use on its production line. At this level of activity, the cost per unit for R-3 is Direct Materials Direct Labor Variable Manufacturing Overhead $ 4.30 7.00 3.20 Total cost per part 23.00 An outside supplier has offered to sell20,000 units of R-3 each year to Koko company for $23.50 per part Koko company has determined that $6.00 of the fixed manufacturing overhead being applied to R-3 would continue if part R-3 were purchased from the outside supplier. 1. Should Koko accept the offer to purchase part R-3 from the outside supplier? ANSWER 2. By how much will Koko be better or worse off (indicate better or worse) id the offer is accepted