A bicycle store costs $3750 per month to operate. The store pays an average of $60 per bike. The average selling price of each bicycle is $110. How many bicycles must the store sell each month to break even?
If they purchase a bike for 60, and sell it for 120, they make a profit of 60. Theywould need to sell 40 bikes to break even. 120 - 60(buying cost) = 60. 2400 / 60 = 40
