Question
Olga was planning to set up a business where she would purchase paintings for $1,100 per unit and sell them for $1,700 per unit. She
Olga was planning to set up a business where she would purchase paintings for $1,100 per unit and sell them for $1,700 per unit. She wanted to conduct a break-even analysis and identified the following costs for running her business: $4,490.00 per month for store leasing, $54 per month website hosting fee, $5,000 per month for staff salary, $2,030 per month for advertising costs, and $26 per unit for labour charges to pack the paintings.
a. How many paintings would she have to sell per month to break even?
Round up to the next whole number
b. If she wants to make a profit of $24,000 in a month, how many paintings would she have to sell?
Round up to the next whole number
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