A company is offered a one-time special order for its product and has the capacity to take this order without losing current business. Variable costs per unit and fixed costs in total will be the same. The gross profit for the special order will be 10%, which is 15% less than the usual gross profit. What impact will this order have on total fixed costs and operating income? B. Total fixed costs increase and operating income increases. C. Total fixed costs do not D. Total fixed costs increase and operating income decreases.
A. Total fixed costs do not