(A) Determine the company’s break-even point in number of lawns serviced per month. Break-even point Type your answer here lawns (B) Determine the company’s break-even point in dollars.
(A) Determine the company’s break-even point in number of lawns serviced per month. Break-even point Type your answer here lawns (B) Determine the company’s break-even point in dollars.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Oriole provides environmentally friendly lawn services for homeowners. Its operating costs are as follows.
Oriole charges $70 per treatment for the average single-family lawn.
| $1,500 | per month | ||
| Advertising | $100 | per month | |
| Insurance | $4,035 | per month | |
| Weed and feed materials | $17 | per lawn | |
| Direct labor | $3 | per lawn | |
| Fuel | $1 | per lawn |
Oriole charges $70 per treatment for the average single-family lawn.
(A) Determine the company’s break-even point in number of lawns serviced per month.
| Break-even point |
Type your answer here
|
lawns |
(B) Determine the company’s break-even point in dollars.
| Break-even point |
$Type your answer here
|
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