Organize, Inc. has only variable costs and fixed costs. A review of the company's records disclosed that when 200,000 units were produced, fixed manufacturing costs amounted to $1,200,000 and the cost per unit manufactured totaled $11. On the basis of this information, how much cost would the firm anticipate at an activity level of 220,000 units?

Multiple Choice

• $2,300,000.
• $2,287,000.
• Incorrect
• $2,279,000.
• $2,200,000.
• None of the answers is correct.