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A company produces and sells soccer balls for $15 each. The variable cost per soccer ball is $7 and the company has monthly fixed costs

A company produces and sells soccer balls for $15 each. The variable cost per soccer ball is $7 and the company has monthly fixed costs of $160,000. If the company increases the sales price to $23 each, which of the following will occur?

  • A : The breakeven point will decrease.

  • B : The breakeven point will increase.

  • C : Fixed costs will decrease.

  • D : Fixed costs will increase.

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