Break$-$even Analysis

Sam Snead is in the process of deciding whether or not to manufacture violins in his garage and sell them to area students who want to take violin lessons and join the Slippery Rock high school orchestra.

He knows there at least $25$ students who would be willing to purchase his violins at a selling price of $$350.$ each. Sam says his total fixed cost for necessary shop equipment $($saws$,$ clamps, kiln drier$)$ is $$2,800.$ Sam expects that the total labor and materials for each instrument will be $$125.$

Question: Assuming Sam makes and sells $25$ violins for $$350$ each, does he break$-$even?

Note: YOU MUST SHOW ALL WORK.

a$.$ Does he break$-$even?

CIRCLE one: YES or NO

IF YOU SAID YES, how much $($if any$)$ pre$-$tax profit will Sam make?

IF YOU SAID NO$,$ how much of a financial loss will Sam sustain?