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What is the number of lawns that must be serviced to reach

Computing contribution margin, breakeven point, and units to achieve operating income

This exercise continues the Lawlor Lawn Service, Inc., situation from Exercise 18-36 of Chapter 18. Lawlor Lawn Service currently charges $100 for a standard lawn service and incurs $60 in variable cost. Assume fixed costs are $1,400 per month.

Requirements

1. What is the number of lawns that must be serviced to reach break even?

2. If Lawlor desires to make a profit of $1,800, how many lawns must be serviced?

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Accounting Basics: What is the number of lawns that must be serviced to reach

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