$1)$ Breaking Even

Mountain Cycle specializes in making custom mountain bikes. The company founder, PJ Steffan, needs help making the business profitable. Knowing that you have good business knowledge and solid financial sense, PJ has asked you for advice.

Project Focus

PJ wants you to determine how many bikes Mountain Cycle needs to sell per year to break even $($Profit $=0).$ Create a new worksheet in Excel Assignment.xlxs titled $1-$BreakingEven, and use Goal Seek to find the solution. The following data is provided:

$$ Fixed cost equals $$35,000$

$$ Variable cost equals $$1,400$

$$ Unit Bike price equals $$2,400$

Necessary Formulas:

Total variable cost $=$ Variable cost x No$.$ of units

Total cost $=$ Fixed cost $+$ Total variable cost

Revenue$=$ Price x No$.$ of units

Profit$=$ Revenue $$ Total Cost

Note: Goal Seek may give you the number of bikes as a fraction. However, it is impossible to sell fractions of bikes! If you are faced with such an issue, what would be your recommendation to resolve it$?$ Provide your answer in a few lines on this worksheet itself. You do not need to change the value of the result but provide an answer as required.