Q2: Alfa's Sheet Metal Company has two divisions. The Raw Material Division prepares sheet metal at its warehouse facility. The Finishing Division prepares the cut sheet metal into finished products for the air conditioning industry. No inventories exist in either division at the beginning of 20X8. During the year, the Raw Material Division prepared 460,000 square feet of sheet metal at a cost of $1,840,000. All the sheet metal was transferred to the Finishing Division, where additional operating costs of $1.50 per square foot were incurred. The 460,000 square feet of finished fabricated sheet metal products were sold for $3,875,000. Part P40 is a part used in the production of air conditioners at Jackson Corporation. The following costs and data relate to the production of Part P40: Number of parts produced annually 22,000 Fixed costs $40,000 Variable costs $66.000 $106,000 Total cost to produce Jackson Corporation can purchase the part from an outside supplier for 54.25 per unit. If they purchase from the outside supplier, 50% of the fixed costs would be avoided. If Jackson Corporation makes the part, how much will its operating income be? A) 547.500 breater than if the company bought the part