Eric was a professional classical guitar player until his motorcycle accident that left him disabled. After long months of therapy, he hired an experienced luthier (maker of stringed instruments) and started a small shop to make and sell Spanish guitars. The guitars sell for $750 and the fixed monthly operating costs are as follows:

Rent and utilities	$1,200
Wages and benefits to luthier	2,600
Other expenses	500

Eric's accountant told him about contribution margin ratios and he understood clearly that for every dollar of sales, $0.60 went to cover his fixed costs, and that anything past that point was pure profit.

What is the amount of revenue Eric should earn each month to break even?

Yantnz:
	$10,750
	$7,167
	$5,167
	$6,334