Answer:
The correct answer is C.
Explanation:
Giving the following information:
Total fixed costs for Green Planes Inc. are $150,000. Total costs, including both fixed and variable, are $600,000 if 140,000 units are produced.
First, we need to calculate the unitary variable cost:
Unitary variable cost= (total cost - fixed cost) / number on units
Unitary variable cost= (600,000 - 150,000)/ 140,000= $3.21 per unit
Now, we can calculate the total variable cost for 230,000 units:
Total variable cost= 3.21*230,000= $738,300
