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Gaston Company makes desks. A customer wants to place a special order for 600 desks in green with the company logo painted on the desk,

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Gaston Company makes desks. A customer wants to place a special order for 600 desks in green with the company logo painted on the desk, to be priced at $40 each. Normally, Gaston would charge $90 per desk for this type of order. Gaston figures that wood and glass will cost $16 per desk, variable overhead (machining, electricity) is $4 per desk, direct labor is $12 per desk, and one setup will be required at $1,000 per setup. The set-up charge costs are 100% labor. Currently, the workers needed to set up for and make the desks are working at Gaston. Their wages will be paid whether or not the special order is accepted. Gaston's policy is to avoid layoffs to the extent possible. If Gasto accepts the special order, by how much will operating income increase or decrease? GIVE YOUR ANSWER TO THE NEAREST WHOLE NUMBER

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