Samson Incorporated Provided the Following Information Regarding Its Only Product

Multiple Choice

Samson Incorporated provided the following information regarding its only product: Assuming there is excess capacity, what would be the effect on operating income of accepting a special order for 1,200 units at a sale price of $47 per product? The 1,200 units would not require any variable selling and administrative expenses. (NOTE: Assume regular sales are not affected by the special order.)

A) Increase by $84,300
B) Decrease by $28,500
C) Increase by $24,300
D) Increase by $28,500