Albert Company provided the following information:

Common fixed cost totaled $46,000. Albert allocates common fixed cost to product 1 and product 2 on the basis of sales. If product 2 is dropped, which of the following is true?
  a.  Sales will increase by $300,000.
  b.  Overall operating income will increase by $2,600.
  c.  Overall operating income will decrease by $25,000.
  d.  Overall operating income will not change.
  e.  Common fixed cost will decrease by $27,600.