The following information relates to the unit product cost for a product manufactured by Nelson Industrial Company:

Line Item Description	Cost
Direct materials	$24
Direct labor	15
Variable overhead	30
Fixed overhead	18
Unit cost	$87

In addition, fixed selling costs are $500,000 per year, and variable selling costs are $12 per unit sold. Although production capacity is 600,000 units per year, the company expects to produce only 400,000 units next year. The product normally sells for $120 each. A customer has offered to buy 100,000 units for $90 each.

If the firm produces the special order, the effect on income would be a(n):

a. increase of $1.050,000.

b. increase of $900,000.

c. decrease of $1,0500,000.

d. decrease of $900,000.