Andes Ski Company Management Is Considering the Cost Effect of Growth

Andes Ski Company management is considering the cost effect of growth for conversion costs if they produce the same amount of products in 2013 as they did in 2012.In 2012,the company produced 580,000 pairs of skis at a cost of $180 per pair.
Required
Compute the cost effect of growth for conversion costs at Andes Ski Company for an identical output between 2012 and 2013.

A) $0
B) $40,630
C) $980,250
D) $630,000
E) $2,566,300