London Yarn is developing a new line of women's causal dresses. Estimated overhead costs are $400,000 while each dress will cost $10 in labor and materials. They want to know if they should continue with this project.

1. (25 pts) If the price is set at $90, how many dresses do they need to sell to breakeven?

1. (25 pts) If the price is set at $90, how many dresses do they need to sell to earn a target profit of 10%?

1. (25 pts) Given a price of $90, how many dresses must they sell to earn a target profit of 10% plus cover a $18,000 advertising budget?

1. (25 pts) If they sell 5,500 dresses, what price should they charge (maintaining the 10% target profit and advertising)?