Missoula Industries manufactures a product with the following costs per unit at the expected production of 30,000 units:

Direct materials$5

Direct labor15

Variable manufacturing overhead8

Fixed manufacturing overhead6

The company has the capacity to produce 60,000 units. The product regularly sells for $45. A wholesaler has offered to pay $40 each for 2,000 units.

If Missoula is at capacity and the special order is accepted, the effect on operating income (profit) would be a

A.$10,000 decrease

B.$24,000 increase

C.$34,000 increase

D.$12,000 decrease