Lawson Industries has been producing and selling 42,000 lamps a year. Lawson Industries has the capacity to produce 52,000 lamps with its present facilities. The following information is also available:

Selling price per unit $30

Variable costs per unit:

Manufacturing 13

Selling and Administrative 7

Fixed costs in total:

Manufacturing $128,000

Selling and Administrative 56,000

If a special order is accepted for 10,000 lamps at a price of $26 per unit, net income would _____________.

	a.	increase by $90,000
	b.	increase by $130,000
	c.	increase by $120,000
	d.	decrease by $24,000