X Limited hires a piece of equipment to carry out quality inspections. This involves a cost of $8000$ per annum, together with $2$ for every inspection completed. An inspection is carried out on every tenth item produced. Annual production is $120\,000$ units. Which type of cost is being incurred, and what is the annual cost?
- Asemi-variable, $24\,800$
- Bsemi-variable, $32\,000$
- Cstepped, $24\,800$
- Dstepped, $32\,000$