Sun Brite has a new pair of sunglasses it is evaluating. The company expects to sell 7,200 pairs of sunglasses at a price of $167 each and a variable cost of $119 each. The equipment necessary for the project will cost $375,000 and will be depreciated on a straight-line basis over the 7-year life of the project. Fixed costs are $330,000 per year and the tax rate is 35 percent. How sensitive is the operating cash flow to a $1 increase in variable costs per pairs of sunglasses?

A) $5,200

B) $4,680

C) $4,680

D) $4,212

E) $4,212