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Vaughn Manufacturing incurs the following costs to produce 8500 units of a subcomponent: An outside supplier has offered to sell Vaughn the subcomponent for $2.85
Vaughn Manufacturing incurs the following costs to produce 8500 units of a subcomponent: An outside supplier has offered to sell Vaughn the subcomponent for $2.85 a unit. No fixed overhead costs are avoidable. If Vaughn accepts the offer, by how much will net income increase (decrease)? $7975$(4625)$(2400)$25975
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