A company currently sells 6,000 units per month and has received a special order from an international customer. The international customer would like to purchase 1,500 units for a price of $80 per unit. The company currently sells the product to regular customers for $95 per unit. The company has excess capacity to produce the special order. The product unit cost is shown below. Direct Materials $49.50 Direct labor 16.50 Variable overhead 9.50 Fixed overhead 3.50 Fixed manufacturing overhead totals $35,000 per month. Management has determined that the additional shipping costs for the international delivery would be $4 per unit. Should the company accept the special order?

Select one:

a. Yes, because operating income will increase by $750.

b. Yes, because operating income will increase by $6,750.

c. No, because operating income will decrease by $21,000.

d. No, because operating income will decrease by $4,500.