Nantua Corporation has two divisions, Southern and Northern. The following information was taken from last year's income statement segmented by division:

	Total Company	Southern	Northern
Sales	$4,000,000	$2,500,000	$1,500,000
Contribution margin	$1,650,000	$1,050,000	$600,000
Divisional segment margin	$850,000	$700,000	$150,000

Net operating income last year for Nantua Corporation was $400,000. If the Northern Division's sales last year were $300,000 higher, how would this have changed Nantua's net operating income? (Assume no change in selling prices, variable expenses per unit, or fixed expenses.)

$30,000 increase

$80,000 increase

$120,000 increase

$300,000 increase