HomeCraft makes wooden play sets. The company pays annual rent of $400,000 per year and pays admin salaries totaling $150,000 per yar. Each play set reequires $400 of wood, 10 hours of labor at $70 per hour, and variable overhead costs of $100. Fixed advertising expenses equal $100,000 per year. Each play set sells for $3,200. What is thee Homecraft break-even output level?
A-340 play sets
B- 258 play sets
C-325 play sets
D-297 play sets