Jacquie Inc. reports the following annual cost data for its single product.
Normal production and sales level..........................60,000 units
Sales price...................................................$56,00 per unit
Direct materials..............................................$9,00 per unit
Direct labor...................................................$6,50 per unit
Variable overhead..........................................$11,00 per unit
Fixed overhead..........................................$720,000 in total
If Jacquie increases its production to 80,000 units, while sales remain at the current 60,000-unit level, by how much would the company's gross margin increase or decrease under absorption costing? Assume the company has idle capacity to double current production.