Our company manufactures a component used in the production of its products. Our costs to manufacture the part include direct materials, $25 per unit; direct labor, $20 per unit; variable factory overhead, $15 per unit; and fixed manufacturing overhead, $12 per unit. A supplier has offered to sell us the part for $65 per unit. If our company chooses to outsource, the fixed costs could be reduced by 55%. We would have no other use for the facilities currently employed in making the component. What would be the effect if our company decides to outsource?