Bridge Industries manufactures a product with the following costs per unit at the expected production of 78,000 units: $\begin{array}{lr}
\text { Direct materials } & £ 15 \
\text { Direct labour } & 22 \
\text { Variable manufacturing overhead } & 12 \
\text { Fixed manufacturing overhead } & 19
\end{array}$ The company has the capacity to produce 80,000 units. The product regularly sells for £90. A wholesaler has offered to pay £75 each for 2,000 units. If Bridge's special order is accepted, the effect on operating income would be a
A)£20,000 decrease.
B)£52,000 increase.
C)£14,000 increase.
D)none of the above.

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The Answer of Bridge Industries manufactures a product with the following costs per unit at the expected production of 78,000 units: $\begin{array}{lr}
\text { Direct materials } & £ 15 \
\text { Direct labour } & 22 \
\text { Variable manufacturing overhead } & 12 \
\text { Fixed manufacturing overhead } & 19
\end{array}$ The company has the capacity to produce 80,000 units. The product regularly sells for £90. A wholesaler has offered to pay £75 each for 2,000 units. If Bridge's special order is accepted, the effect on operating income would be a
A)£20,000 decrease.
B)£52,000 increase.
C)£14,000 increase.
D)none of the above.

Bridge Industries Manufactures a Product with the Following Costs Per