The break-even point in units is calculated as total fixed costs divided by the contribution margin per unit. Therefore, which of the following statements is true?

Hint: Work a simple example to see how changes in selling price and variable costs impact break-even.

		Break-even point in units will increase when unit variable costs decrease and the sales price per unit increases.
		Break-even point in units will increase when unit variable costs increase and sales price per unit remains unchanged.
		Break-even point in units will increase when unit variable costs decrease and sales price per unit remains unchanged.
		Break-even point in units will increase when unit variable costs remain unchanged and the sales price per unit increases.