Swiltzer Co. manufactures 168,000 units of a component each year that the company uses in the production of one of its product lines. Relevant manufacturing costs for those units are as follows: Direct materials Direct labour Variable overhead Fixed overhead Total costs $315,000 $504,000 $189,000 $252,000 $1,260,000 Recently, management at Swiltzer Co. has received an offer from a potential supplier that is willing to sell the components to Swiltzer Co. for $7.40 per unit. If Swiltzer Co. accepts the offer, management could rent the manufacturing space currently used manufacturing the component in-house for $189,000 per year. Required: (A) Should Swiltzer Co. accept the potential supplier's offer? How much would Switzer Co.'s income increase or decrease by accepting the order? (B) What qualitative factors should companies, such as Swiltzer Co., consider prior to accepting/declining this type of offer from a potential supplier?