Markson Company had the following results of operations for the past year:

Sales (8,000 units at $20.30)				$	162,400
Variable manufacturing costs	$	87,200
Fixed manufacturing costs		15,300
Variable selling and administrative expenses		13,200
Fixed selling and administrative expenses		20,300			(136,000	)
Operating income				$	26,400

A foreign company whose sales will not affect Markson's market offers to buy 2,000 units at $14.45 per unit. In addition to variable manufacturing costs, selling these units would increase fixed overhead by $1,630 for the purchase of special tools. Marksons annual productive capacity is 12,000 units. If Markson accepts this additional business, its profits will:

Multiple Choice

• Decrease by $1,630.

• Decrease by $5,100.

• Increase by $2,170.

• Increase by $3,800.

• Decrease by $5,430.