Reference no: EM132418509
Problem: FSU Landscaping Inc. provides landscape services for homeowners in the Fitchburg area.
Its operating costs are as follows:
Depreciation $2,800 per month
Advertising $400 per month
Insurance $4,000 per month
Fertilizing Materials $24 per lawn
Direct Labor $20 per lawn
Auto & Equipment fuel $4 per lawn
FSU Landscaping Inc. charges $120 per treatment for the average single-family lawn.
Instructions:
Question 1: Determine the company's break-even point in number of lawns
Question 2: Determine the company's break-even point in dollars