Green with Envy provides environmentally friendly lawn services for homeowners. Its operating costs are as follows.
Depreciation ..... $1,500 per month
Advertising ....... $200 per month
Insurance ....... $ 2,000 per month
Weed and feed materials ... $13 per lawn
Direct labor ......... $12 per lawn
Fuel ........... $2 per lawn
Green with Envy charges $60 per treatment for the average single-family lawn.
Instructions
Determine the company’s break-even point in
(a) Number of lawns serviced per month and
(b) Dollars.