Breaking Even

Mountain Cycle specializes in making custom mountain bikes. The company founder, P$.$ J$.$ Steffan, is having a hard time making the business profitable. Knowing that you have great business knowledge and solid financial sense, P$.$ J$.$ has come to you for advice.

P$.$ J$.$ would like you to determine how many bikes Mountain Cycle needs to sell per year to break even. Using Goal Seek in Excel, solve using the following:

Fixed cost equals $$65,000$

Variable cost equals $$1,575$

Bike price equals $$2,500$