Sky High Seats manufactures seats for airplanes. The company has the capacity to produce 100,000 seats per year, but currently produces and sells 75,000 seats per year. The following information relates to the current production of the product:

Sale price per unit	$ 430$430
Variable costs per unit:
Manufacturing	$ 250$250
Marketing and administrative	$ 90$90
Total fixed costs:
Manufacturing	$ 800 comma 000$800,000
Marketing and administrative	$ 200 comma 000$200,000

If a special sales order is accepted for

7 comma 0007,000

seats at a price of

$ 360$360

per unit, and fixed costs remain unchanged, how would operating income be affected? (NOTE: Assume regular sales are not affected by the special order.)

A.

Increase by $ 2 comma 000 comma 000$2,000,000

B.

Increase by $ 2 comma 520 comma 000$2,520,000

C.

Decrease by $ 140 comma 000$140,000

D.

Increase by $ 140 comma 000$140,000