Question
Olga was planning to set up a business where she would purchase paintings for $1,050 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 $1,050 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: $4,480.00 per month for store leasing, $52 per month website hosting fee, $5,000 per month for staff salary, $2,020 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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