Pentacle Company produces a part that is used in the manufacture of one of their products. The unit cost of the part is $33, computed as follows:

Direct Materials...............................................$12

Direct Labor..........................................................8

Variable manufacturing overhead..................3

Fixed manufacturing overhead.....................10

Unit Product Cost $33

An outside supplier has offered to provide the annual requirement of 10,000 of these parts for only $27 each. The company estimates that 30% of the fixed manufacturing overhead costs (shown above) will continue if the parts are purchased from the outside supplier. Based on this data, the per unit dollar advantage or disadvantage of purchasing the parts from the outside supplier would be:

Group of answer choices:

A. no advantage or disadvantage

B. $3 disadvantage

C. $1 advantage

D. $3 advantage