Guillory Company makes and sells several different products. The past three months of information for one of the company's products, Model A02777, are summarized below. Sales (1,400 units) $410,000 Manufacturing costs: Direct materials 170,000 Direct labor ($15 per hour) 60,000 Overhead 150,000 Operating income $30,000 Overhead costs are 75% variable and the remaining 25% is depreciation of special equipment for model A02777 that has no resale value If Model A02777 is dropped from the product line, operating income will Select one: A. Increase by $37,500 B. increase by $30,000 C. decrease by $30,000 D. decrease by $67,500