A company is estimating the benefits of investing in a new machine to improve its output. Its current variable costs are 12 per unit and current fixed costs are 48,000. If the new machine increases fixed costs by 15% but reduces variable costs by 10%, at what level of production should they change to the new method?

Select one:

a.

8,000 units

b.

4,363 units

c.

6,000 units

d.

2,000 units