​A business incurs the following costs per unit: Labor $125/unit;Materials $45/unit and rent $250,000/month.If the firm produces 1,000,000 units a month,the total variable costs equal

A) ​$125Million
B) $45Million
C) $1Million
D) ​$170Million

Variable Costs

Costs that vary directly with the level of output, such as raw materials and direct labor expenses.

Labor

The human effort, either physical or mental, employed in the production of goods and services.

Materials

Raw elements or substances used in the production or manufacturing of goods.