John is considering starting his own company making hats. His estimated fixed cost is $220,000 and variable

Question:

John is considering starting his own company making hats. His estimated fixed cost is $220,000 and variable material cost per hat is $5, variable packaging cost per hat is $5, and variable labor per hat is $10. John thinks his hat can sell for $32 each. How many hats must he sell to break-even? What's the break-even point in dollars?