ACCOUNTING
Multiple Choice
A company increased the selling price for its product from $5 to $6 per unit when total fixed expenses increased from $100,000 to $200,000 and variable expense per unit remained unchanged. How would these changes affect the break-even point?
A. The effect can't be determined from the information given.
B. The break-even point in units would increase.
C. The break-even point in units would remain unchanged.
D. The break-even point in units would decrease.
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