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Multiple Choice Question 77 Marigold Corp. incurs the following costs to produce 10100 units of a subcomponent: Direct materials Direct labor Variable overhead Foxed overhead

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Multiple Choice Question 77 Marigold Corp. incurs the following costs to produce 10100 units of a subcomponent: Direct materials Direct labor Variable overhead Foxed overhead $8484 11413 12726 16200 An outside supplier has offered to sell Marigold the subcomponent for $2.85 a unit If Marigold could avoid $3000 of fixed overhead by accepting the offer, net income would increase (decrease) by $838 $(5929) $(3364) $6838

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