A bicycle store costs $2250 per month to operate. The store pays an average of $55 per bike. The average selling price of each bicycle is $85. How many hicycles store sell each month to break even?
Let's denote the number of bicycles sold each month as x.
The revenue from selling the bicycles would be 85x, as each bicycle sells for $85.
The cost of operation is $2250 per month.
The cost of purchasing the bicycles to sell would be 55x, as each bicycle costs $55.
To break even, the revenue should be equal to the cost of operation.
So, we can set up the equation:
85x = 2250 + 55x
We can subtract 55x from both sides of the equation to isolate x:
85x - 55x = 2250
Simplifying further:
30x = 2250
Dividing both sides of the equation by 30:
x = 2250/30
x = <<2250/30=75>>75
Therefore, the bicycle store needs to sell 75 bicycles each month to break even.