Supersonic Tire Company makes a special kind of racing tire. Variable costs are $220 per unit, and fixed costs are $30,000 per month. Supersonic sells 500 units per month at a sales price of $300. If the quality of the tire is upgraded, the company believes it can increase the price to $325. If so, the variable cost will increase to $230 per unit, and the fixed costs will rise by 40%. If Supersonic decides to upgrade, how will operating income be affected? O A. Operating income will increase by $40. O B. Operating income will decrease by $12,500. OC. Operating income will increase by $12,500. OD. Operating income will decrease by $4,500