Question: At a volume of 20,000 direct labor hours, Tirso firm incurs $50,000 in factory overhead costs, including $10,000 in fixed costs. Suppose that this activity is within the relevant range, if volume rises to 25,000 direct labor hours, Tirso firm would expect to incur total factory overhead costs of:
[A] $62,500
[B] $60,000
[C] $72,500
[D] $50,000