Sherman Lawn Service currently charges ($50) for a standard lawn service and incurs ($20) in variable cost.

Question:

Sherman Lawn Service currently charges \($50\) for a standard lawn service and incurs \($20\) in variable cost. Assume fixed costs are \($1,200\) per month.

Requirements 

1. What is the number-of lawns that must be serviced to reach break even?
2. If Sherman desires to make a profit of \($1,500\), how many lawns must be serviced?

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Related Book For  book-img-for-question

Financial And Managerial Accounting

ISBN: 9780135080191

2nd Edition

Authors: Charles T Horngren, Jr Walter T Harrison

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