Sharp Company produces 8,000 parts each year, which are used in the production of one of its products. The unit product cost of a part is $36, computed as follows:

Variable production costs	$16
Fixed production costs..	$20
Unit product cost	$36

The parts can be purchased from an outside supplier for only $28 each. The space in which the parts are now produced would be idle and fixed production costs would be reduced by one-fourth. Which costs are relevant to the decision?

- A. B.	Variable production costs per unit - $16
- A. B.	Fixed manufacturing overhead - $20 per unit
- A. B.	Fixed manufacturing overhead - $5 per unit

A.	relevant
B.	not relevant