blurred numbers at the top right are 80%capacity and $25 per unit

Quigley Company manufactures a single product and is currently opening normal capacity of 50,000 units. The normal selling price of Quigley's product unit. The manufacturing and selling costs for the present 40,000 units include Direct materials Direct labor Fixed manufacturing overhead Variable manufacturing overhead Sales commissions Administrative expenses Per Unit $ 3.50 5.00 7.00 3.00 1.00 .50 Total $140,000 200,000 280,000 120,000 40,000 20,000 Total $20.00 $800,000 A foreign company has offered to buy 10,000 units at $16 per unit. The units must be modified slightly according to the foreign company's specifications at a cost of $2.00 pet unit. Administrative expenses are 100% fixed. Transportation costs for the special order would be $0.75 per unit. However, the sales commission would not be incurred for this order. 26. Ir Quigley were to accept the order, by how much would operating income increase or decrease? Decrease by S40,000. b. Decrease by $90,000. Increase by $12,500. 4. Increase by $17,500. None of the above