Oriole Company incurs the following costs to produce 9200 units of a subcomponent: Direct materials $7728 Direct labor 10396 Variable overhead 11592 Fixed overhead 16200 An outside supplier has offered to sell Oriole the subcomponent for $2.85 a unit. If Oriole accepts the offer, by how much will net income increase (decrease)? $19696 $(8096) $3496 $(2668)