If a Company Sells a Single Product and the Selling

Multiple Choice

If a company sells a single product and the selling price per unit and the variable cost per unit both increase by 5% while fixed costs remain the same, then contribution margin

A) per unit increases and breakeven in units increases.
B) per unit increases and breakeven in units decreases.
C) remains the same and breakeven in units increases.
D) decreases and breakeven in units decreases.