Use the following information to answer questions 30 and 31. BLG Industries manufactures 10,000 components per year. The total manufacturing cost was determined as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead, common Total $60,000 90,000 20,000 70,000 $240,000 An outside supplier has offered to provide the component to BLG for $21 each. 30. If BLG Industries purchases the component from the outside supplier, the effect on income would be: a. a $70,000 increase. b. a $40,000 decrease. c. a $30,000 decrease. d. a $40,000 increase. e. a $30,000 increase. 31. Assume BLG Industries could rent their unused manufacturing facilities for $10,000 if they purchase the component from the outside supplier. If BLG purchases the component from the supplier instead of manufacturing it, the effect on income would be: a. a $40,000 decrease. b. a $30,000 increase. c. a $20,000 decrease. d. a $30,000 decrease. e. a $40,000 increase