Following a strategy of product differentiation, Arseniq Company makes a high-end Appliance, XT15. Arseniq presents the following data for the years 2014 and 2015: Manufacturing capacity in units of XT15 Conversion costs per unit of capacity Units of XT15 produced and sold Selling price Direct materials (square feet) Direct materials costs per square foot Total conversion costs Selling and customer-service capacity (customers) 2014 51,000 $500 159,000 2015 53,000 $550 162,750 $56 $61 62700 62,700 $6,520,800 $6,959,700 $104 $111 150 150 Total selling and customer-service costs Selling and customer-service capacity cost per customer $2,265,000 $15,100 $2,340,000 $15,600 Arseniq produces no defective units but it wants to reduce direct materials usage per unit of XT15. Manufacturing conversion costs in each year depend on production capacity defined in terms of XT15 units that can be produced. Selling and customer-service costs depend on the number of customers that the customer and service functions are designed to support. Arseniq had 135 customers in 2014 and 140 customers in 2015. What is the net effect on operating income as a result of the growth component? $650,824 U $1.970,860 F $1,970,860 U $650,824 F