A company currently manufactures a specific part that is used in the production of its main product. The average cost for the part at a 19,400 part manufacturing level is as follows: Direct materials $14.80, Direct labor $5.30, Variable manufacturing overhead $3.70, Fixed manufacturing overhead $2.40. An outside supplier has begun manufacturing the same part and has offered to sell it the company for $18.00 per part. The fixed manufacturing overhead costs are unavoidable and there would no other use for the facilities. 1) if the company decides to continue making the part, how much higher or lower will the company's net income be than if the parts are purchased from the outside supplier. 2) Should the company continue making the part or buy the part from the supplier?