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Answer the following question(s) using the information below.Konrade's Engine Company manufactures part TE456 used in several of its engine models.Monthly production costs for 1,000 units are as follows:
Answer the following question(s) using the information below.Konrade's Engine Company manufactures part TE456 used in several of its engine models.Monthly production costs for 1,000 units are as follows:    It is estimated that 10% of the fixed overhead costs assigned to TE456 will no longer be incurred if the company purchases TE456 from the outside supplier.Konrade's Engine Company has the option of purchasing the part from an outside supplier at $85 per unit. -If Konrade's Engine Company purchases 1,000 TE456 parts from the outside supplier per month, then its monthly operating income will A) increase by $13,000. B) increase by $15,000. C) decrease by $5,000. D) decrease by $3,000. E) decrease by $35,000. It is estimated that 10% of the fixed overhead costs assigned to TE456 will no longer be incurred if the company purchases TE456 from the outside supplier.Konrade's Engine Company has the option of purchasing the part from an outside supplier at $85 per unit.
-If Konrade's Engine Company purchases 1,000 TE456 parts from the outside supplier per month, then its monthly operating income will

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Definitions:

Asthenosphere

The semi-fluid layer of the Earth's mantle just below the lithosphere, allowing for plate tectonic movement due to its plasticity.

Marine Sediments

Deposits accumulated on the ocean floor, derived from chemical precipitates, organic matter, or the erosion of terrestrial materials.

Black Smokers

Hydrothermal vents on the seafloor in which hot water from within the rock jets out into cold seawater and forms a cloud of minerals, especially those rich in sulfur.

Sulfide Minerals

Minerals composed of sulfide ions and one or more metals; important as ore minerals and for their chemical properties.

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