Adam Spent US$10,000 on New Equipment for His Small Business

Adam spent US$10,000 on new equipment for his small business, "Adam's Fitness Studio". Membership at his fitness center is very low and at this rate, Adam needs an additional US$12,000 per year to keep his studio open. Which of the following is true?

A) The US$10,000 Adam spent on equipment is the total cost of starting the business and the US$12,000 he'll need to continue operations is a marginal cost.
B) The fixed cost of running the studio is US$22,000.
C) The variable cost of running the studio is US$22,000.
D) The US$10,000 Adam spent on equipment is a fixed cost of business and the US$12,000 he'll need to continue operations is a variable cost.