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Business, 26.03.2021 20:40 athenajames1221

Bramble Corp. incurs the following costs to produce 9900 units of a subcomponent: Direct materials $8316 Direct labor 11187 Variable overhead 12474 Fixed overhead 16200 An outside supplier has offered to sell Bramble the subcomponent for $2.85 a unit. If Bramble accepts the offer, it could use the production capacity to produce another product that would generate additional income of $3600. The increase (decrease) in net income from accepting the offer would be A. $7362.
B. $162.
C. $(162).
D. $(3600).

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