Southwest U’s campus book store sells course packs for $16 each. The variable cost per pack is $10, and at current annual sales of 50,000 packs, the store earns $75,000 before taxes on course packs. How much are the fixed costs of producing the course packets?
a. $164,025
b. $182,250
c. $202,500
d. $225,000
e. $247,500