The LKO Company has the following information for the current year:

Customer YYYCustomer ZZZRevenue$3,000,000$4,000,000Variable expenses$1,800,000$1,500,000Contribution margin$1,200,000$2,500,000Fixed expenses$1,400,000$1,800,000Operating income($200,000)$700,000

Further analysis indicates that of the fixed expenses listed here, common fixed costs of $600,000 were allocated to each product. Based on this information, what would be the impact on LKO's operating income if it dropped Customer YYY?

A: Operating income would decrease by $1,300,000.

B: Operating income would decrease by $400,000.

C: Operating income would increase by $200,000.

D: Operating income would decrease by $1,200,000.