Emerton Corporation Leases Its Corporate Headquarters Building

Multiple Choice

Emerton Corporation leases its corporate headquarters building. This lease cost is fixed with respect to the company's sales volume. In a recent month in which the sales volume was 32,000 units, the lease cost was $716,800. To the nearest whole dollar, what should be the total lease cost at a sales volume of 30,900 units in a month? (Assume that this sales volume is within the relevant range.)

A) $742,317
B) $692,160
C) $704,480
D) $716,800