Trader Mo$$s is a furniture company. The company has decided to alter its strategy by selling its automated production equipment and producing furniture using skilled labor instead. However, in the short$-$term, the company is unable to cut fixed costs due to contractual obligations related to production equipment. In the short$-$term, how will this change in strategy affect the breakeven point?

Multiple Choice

The breakeven point will increase.

The breakeven point will decrease.

The breakeven point will remain the same.

We cannot answer this question without knowing the average selling price of the furniture.