Answer:
d. $432,590
Explanation:
In this scenario cost varies with volume of calls. This is called variable cost and is defined as cost that changes as the quantity of goods and services changes. Variable cost is a summation of all the marginal costs of units produced. They rise as production increases and vice versa.
To calculate the variable cost= Total cost/ volume
Variable cost= 452,500/25,000
Variable cost= $18.10
At a new volume of $23,900
Total cost= Variable cost * Volume
Total cost= 18.1* 23,900
Total cost= $432,590