Baskin Promotions, Inc. sells T-shirts decorated for a variety of concert performers. The company has developed the following budget for the coming year based on a sales forecast of 80,000 T-shirts: Sales $1,700,000 Cost of Goods Sold $935,000 Gross Profit $765,000 Operating Expenses ($150,000 is $523,700 fixed) Operating Income $241,300 Income Taxes (30% of operating $72,390 income) Net Income $168,910 If the concert season is slow due to poor weather, Baskin estimates that sales could fall to as low as 60,000 T-shirts. (i). In a flexible budget for sales of 60,000 T-shirts, how much would Baskin budget for operating expenses? Select one: a. $523,700. O b. $280,275. c. $430,275. d. $392,775