Question 20 Crane Company incurs the following costs to produce 9800 units of a subcomponent: Direct materials $8232 Direct labor 11074 Variable overhead 12348 Fixed overhead 16200 An outside supplier has offered to sell Crane the subcomponent for $2.85 a unit. If Crane could avoid $3000 of fixed overhead by accepting the offer, net income would increase (decrease) by $(2872) $6724 O $724, O $(5842)