Fabio Corporation is considering eliminating a department that has a contribution margin of $30,000 and $70,000 in fixed costs. Of the fixed costs, $12,000 cannot be avoided. The effect of eliminating this department on Fabio's overall net operating income would be:

A) a decrease of $40,000.

B) an increase of $40,000.

C) a decrease of $28,000.

D) an increase of $28,000.