1. Yankton Industries manufactures 20,000 components per year. The manufacturing cost of the components was determined as follows:

Direct materials	$140,000
Direct labor	230,000
Inspecting products	60,000
Providing power	30,000
Providing supervision	40,000
Setting up equipment	60,000
Moving materials	20,000
Total	$580,000

If the component is not produced by Yankton, inspection of products and provision of power costs will only be 10 percent of the production costs; moving materials costs and setting up equipment costs will only be 50 percent of the production costs; and supervision costs will amount to only 40 percent of the production amount. An outside supplier has offered to sell the component for $23.50.

What is the effect on income - positive or (negative) - if Yankton Industries purchases the component from the outside supplier? [Income]