Kitts Co. buys and sells a product that has a variable cost per unit of $18. Kitts fixed costs amount to $40,000 and a desired profit of $8,000. The product sells for $22 each. If Kitts is able to reduce fixed costs by $12,000, the number of units that must be sold to earn the desired profit will

increase by 12,000.

decrease by 9,000.

decrease by 3,000.

increase by 9,000.