Pottery Ranch Inc. has been labor cost per unit to make a pair of finials are $3.56 and $4.75, respectively, Normal production is 29,100 curtain rods per year its own finials for its curtain rods. The company is currently operating at 100% of capacity, and variable overhead is charged to production at the rate of 61% of direct labor cost. The direct materials and direct A supplier offers to make a pair of finials at a price of $13.46 per unit. If Potery Ranch accepts the supplier's offer, all variable manufacturing costs will be aliminated, but the $40,400 af fixed manufacturing averhead currently being charged to the finials will have to boe absorbed by other products Prepare an incremental analysis to decide if Pottery Ranch should buy the finials. (Round answers to 0 decimal places, e.g. 1250. Enter negative amounts using either a negative sign preceding the number e.o. -45 or parentheses e.o. (45).) Net Income Increase (Decrease) Make Buy Direct materials Direct labor Variable overhead costs Fixed manufacturing costs Purchase pr Total annual cost Should Pottery Ranch buy the finials? Pottery Ranch should the finials. Co: Would your answer be different in (b) if the productive capacity released by not making the finials could be used to produce income of $70,248? by $ income would