A bicycle store costs $3300 per month to operate. The store pays an average of $75 per bike. The average selling price of each bicycle is $135. How many bicycles must the store sell each month to break even?
S=Selling price 135 V=Variable cost 75 F=Fixed cost 3300 Let quantity be Q The formula to break even is 135Q-75Q-3300=0 Solve for Q 60Q-3300=0 60Q=3300 Q=3300/60 Q=50 So the store must sell 50 bicycles to break even
