McCall Enterprises manufactures one of the has offered to make the component at a cost component, basod on the 100,000 components that McC the following calculations: components used to asscmble its main company product. Specialty Products, Inc.. of sia.1o per unit. McCall Enterprises" current cost is $17.00 per unit of the unit. McCall Ent all Enterprises currently produces. This current cost per unit is based on Direct material per unit Direct labor per unit Variable manufacturing overhead per unit Fixed manufacturing overhead per unit Total manufacturing costs per unit S 5.50 6.5 $17.00 None of M used to build a new product. This new product would be expected to generate $30,000 of contribution margin per year. Requirements cCall Enterprises' fixed costs will be eliminated if the component is outsourced. However, the freed capacity could be 1. If McCall Enterprises outsources the manufacturing of the component, will operating 2. What is the maximum price per unit McCall Enterprises would be willing to pay if it income increase or decrease? By how much? outsources the component