Phi Upsilon Nu,a Student Social Organization,has Two Different Locations Under

Multiple Choice

Phi Upsilon Nu,a student social organization,has two different locations under consideration for constructing a new chapter house.PhUN's president,a POM student,estimates that due to differing land costs,utility rates,etc.,both fixed and variable costs would be different for each of the proposed sites,as follows: What would be total annual costs for either location at the point of indifference?

A) $26,000
B) $28,000
C) $30,000
D) $32,000
E) $34,000