The SP Corporation makes 38,000 motors to be used in the production of its sewing machines. The average cost per motor at this level of activ Direct materials $ 9.70 Direct labor $ 8.70 Variable manufacturing overhead $ 3.55 Fixed manufacturing overhead $ 4.50 An outside supplier recently began producing a comparable motor that could be used in the sewing machine. The price offered to SP Corpo his motor is $24.55. If SP Corporation decides not to make the motors, there would be no other use for the production facilities and none Fixed manufacturing overhead cost could be avoided. Direct labor is a variable cost in this company. The annual financial advantage (disad or the company as a result of making the motors rather than buying them from the outside supplier would be: Multiple Choice O ($72.200) 98.800 . $233.700