TB MC Qu$.18-120($Algo$)$ Forrester Company is considering buying...

Forrester Company is considering buying new equipment that would increase monthly fixed costs from $$120,000$ to $$175,000$ and would decrease the current variable costs of $$80$ by $$30$ per unit. The selling price of $$120$ is not expected to change. Forrester's current break$-$even sales are $$360,000$ and current break$-$even units are $3,000.$ If Forrester purchases this new equipment, the revised break$-$even point in units would:

Multiple Choice

Increase by $500.$

Decrease by $500.$

Increase by $4,000.$

Decrease by $1,000.$