Walden Industries is considering investing in production - management software that costs $640,000, has $70,000 residual value, and leads to cost savings of $1,610,000 per year over its five-year life. Calculate the average amount invested in the asset that should be used for calculating the accounting rate of return. A. $710,000 OB. $355,000 O C. $640,000 OD. $70,000 Value Electronics uses a standard part in the manufacture of different types of radios. The total cost of producing 24,000 parts is $90,000, which includes fixed costs of $30,000 and variable costs of $60,000. The company can buy this part from an external supplier for $5 per unit and avoid 10% of the fixed costs. If Value Electronics decides to outsource the production of the part, how will it impact its operating income? A. Operating income increases by $57,000. B. Operating income decreases by $60,000. OC. Operating income decreases by $57,000. OD. Operating income increases by $60,000