Question: All That Blooms provides environmentally friendly lawn services

All That Blooms provides environmentally friendly lawn services for homeowners. Its operating costs are as follows.
Depreciation ......... $1,400 per month
Advertising ........ $200 per month
Insurance ......... $2,000 per month
Weed and feed materials ... $12 per lawn
Direct labor ........ $10 per lawn
Fuel ........... $2 per lawn
All That Blooms charges $60 per treatment for the average single-family lawn.

Instructions
Determine the company’s break-even point in
(a) Number of lawns serviced per month and
(b) Dollars.


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  • CreatedMarch 22, 2012
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