**Answer:**

**C) $729,027**

**Explanation:**

The formula to compute the break even point in dollars amount is shown below:

**= (Fixed cost ) ÷ (Profit volume ratio)**

where,

Fixed cost = $100,000 + $250,000 + $45,000 = $395,000

And the profit volume ratio would be

**= (Contribution margin) ÷ (Sales) × 100**

where Contribution margin equal to

**= Sales - variable cost **

The sales = $1,500,000 × 110% = $1,650,000

Variable cost would be

Direct Material = $250,000 × 112% = $280,000

Direct Labor = $150,000 × 112% = $168,000

Variable overhead = $75,000 ×112% = $84,000

Variable Selling & admin. Exp = $200,000 × 112% = $224,000

**Total Variable Overhead = $756,000**

Now the Contribution margin would be

= $1,650,000 - $756,000

= $894,000

And, Contribution margin ratio

= $894,000 ÷ $1,650,000 = 54.18181818%

So, the break-even point would be

= $395,000 ÷ 54.18181818%

= **$729,027 approx**