If total fixed costs increase while variable costs and sales price are unchanged, what happens to the break-even point?
A. The break-even point remains the same.
B. The break-even point decreases, and therefore fewer units must be sold to break even.
C. The break-even point increases, and therefore more units must be sold to break even.
D. The break-even point decreases and therefore more units must be sold to break even.
Answer: C
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