Voltaic Electronics uses a standard part in the manufacture of different types of radios. The total cost of producing 29,000 parts is $100,000, which includes fixed costs of $40,000 and variable costs of $60,000. The company can buy the part from an outside supplier for $3 per unit and avoid 30% of the fixed costs. Assume that the company can use the freed manufacturing space to make another product that can earn a profit of $16,000. If Voltaic outsources, what will be the effect on operating income? A. decrease of $1.000 OB. increase of $1,000 O c. increase of $16.000 D. decrease of $12000 Gateway Graphics is considering an investment in new printing equipment costing $540,000. The equipment will be depreciated on a straight-line basis over a five-year life and is expected to generate net cash inflows of $128,000 the first year, $154,000 the second year, and $ 162,000 every year thereafter until the fifth year. What is the payback period for this investment? The residual value is zero. (Round your answer to two decimal places.) O A. 4.83 years OB. 2.95 years O C. 3.22 years OD. 3.59 years