Question

Several students decide to start a T-shirt company. After initial expenses of $280, they purchase each T-shirt wholesale for $3.99. They sell each T-shirt for $10.99. How many must they sell to break even?
a.

10 shirts

c.

30 shirts
b.

20 shirts

d.

40 shirts

Answer 1

Mind if I start off by asking you to define "break even" in this context?

Answer 2

like breaking the whole in half i guess i confused about it thats why im asking

Answer 3

break even means when what you spend equals what you make
Understand ?

Answer 4

oh i get it now but can you still help me with the question?

Answer 5

:)

Answer 6

I am not gonna take over mathmale's explaination

Answer 7

Or, more precisely, one achieves "break even" when Revenue = Costs.
We're talking about business principles here. What does "Revenue" mean from a business standpoint? Total costs?

Answer 8

I do think it essential to know these terms before attempting to solve a "break even" problem.

Answer 9

ok thank you

Answer 10

Revenue: Amount of $ taken in by the shopkeeper when x units of product are sold at price p.
Costs: Fixed costs plus variable costs = F + c*x, where F=fixed costs, c=unit cost, and x=number of units produced.

Have you seen these definitions before?

Answer 11

ggiirrll: What's your strategy for learning new vocabulary? We all need such strategies.

Break even implies that Total Costs = Revenue.
Total Costs = F + c*x = p*x

Your job is to identify values of F, c and p and then solve this equation for x. Would you try that, please?