Kent Manufacturing produces a product that sells for $54.00. Fixed costs are $341,000 and variable costs are $23.00 per unit. Kent can buy a new production machine that will increase fixed costs by $14,200 per year, but will decrease variable costs by $6.00 per unit. What effect would the purchase of the new machine have on Kent's break-even point in units?

Multiple Choice

• No effect on the break-even point in units.

• 2,233 unit decrease.

• 8,596 unit increase.

• 1,400 unit increase.

• 1,400 unit decrease.