The Northern Company manufactures $2,800$ units per year. The full manufacturing costs per unit are as follows:

Direct materials $$2\mathrm{.}00$

Direct labor $8\mathrm{.}00$

Variable manufacturing overhead $6\mathrm{.}00$

Average fixed manufacturing overhead $6\mathrm{.}00$

Total $$22\mathrm{.}00$

The Southern Company has offered to sell Northern Company $2,800$ units for $$15$ per unit. If Northern Ring Company accepts the offer, $$14,000$ of fixed overhead will be eliminated. Northern should: