Kennywood Inc., a manufacturing firm, is able to produce 1,000 pairs of pants per hour, at maximum efficiency. There are three eighthour shifts each day. Due to unavoidable operating interruptions, production averages 900 units per hour. The plant actually operates only 28 days per month. Based on the current budget, Kennywood estimates that it will be able to sell only 504,000 units due to the entry of a competitor with aggressive marketing capabilities. But the demand is unlikely to be affected in the future and will be around 517,000. Assume the month has 30 days. What is the masterbudget

capacity utilization level for this budget period?

A. 545,000 units

B. 529,200 units

C. 517,000 units

D. 504,000 units