Question: Flying Cloud Co. has the following operating data for its manufacturing operations: Unit selling price $217 Unit variable cost $112 Total fixed costs $769,000 The

Flying Cloud Co. has the following operating data for its manufacturing operations:

Unit selling price	$217
Unit variable cost	$112
Total fixed costs	$769,000

The company has decided to increase the wages of hourly workers which will increase the unit variable cost by 10%. Increases in the salaries of factory supervisors and property taxes for the factory will increase fixed costs by 4%. If sales prices are held constant, the next break-even point for Flying Cloud Co. will be

a.increased by 962 units

b.increased by 1,202 units

c.decreased by 1,202 units

d.increased by 1,443 units

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