QUESTION 21 Violet Corporation currently manufactures a subcomponent that is used in its main product. Violet Corporation currently produces 10,000 subcomponents at the following manufacturing costs: Per unit Direct materials $6 Direct labor $5 Variable manufacturing overhead $3 Fixed manufacturing overhead $4 Total unit cost $18 A supplier has offered to supply all the subcomponents needed at a price of $15. Violet determined all variable costs could be eliminated by outsourcing the subcomponent, while all the fixed overhead cost is unavoidable. At this time, Violet has no specific use in mind for the space currently dedicated to producing the subcomponent. What would be the profit impact of buying the subcomponents from the supplier? increase $10,000 O decrease $30,000 increase $30,000 O decrease $10,000 QUESTION 22 Refer to Violet Corporation. Based strictly on the incremental analysis, should Violet Corporation buy the subcomponent or continue to make them? O Violet Corporation should buy the subcomponent from the supplier. Violet Corporation should continue to make them. QUESTION 23 Refer to Violet Corporation. What would be the maximum price per unit they would be willing to pay the supplier? O $11 O $14 O $15 O $18