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Question 7 (1 point) Direct materials Direct labor Variable overhead Fixed overhead $8,400 11,250 12,600 16,200 Clemente Inc. incurs the following costs to produce 10,000

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Question 7 (1 point) Direct materials Direct labor Variable overhead Fixed overhead $8,400 11,250 12,600 16,200 Clemente Inc. incurs the following costs to produce 10,000 units of a subcomponent: An outside supplier has offered to sell Clemente the subcomponent for $2.85 a unit. If Clemente accepts the offer, by how much will net income increase (decrease)? $3,750 $19,950 $(8,850) $(2,850)

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