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TP LLC makes 350 units of A per year. At this level, the cost per unit includes $320 in direct materials, $940 in direct labor,

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TP LLC makes 350 units of A per year. At this level, the cost per unit includes $320 in direct materials, $940 in direct labor, $295 in variable overhead, and $1,050 in fixed overhead. An outside supplier has offered to make all 350 units for $2,080 per unit. If TP accepts this offer, two thirds of the fixed overhead would be eliminated and costs would be defrayed by renting out the floor space for $70,000 per year. How much will profits change if the outside vendor is given the contract and the floor space is rented

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