HomeCraft makes wooden play sets. The company pays annual rent of $200,000 per year and pays administrative salaries totaling $150,000 per year. Each play set requires $100 of wood, ten hours of labor at $80 per hour, and variable overhead costs of $100. Fixed advertising expenses equal $50,000 per year. Each play set sells for $1,800. What is HomeCraft's break even output in units of play sets?

325 play sets

525 play sets

500 play sets

450 play sets