Akeem wants to have a lemonade stand at the community fair. It costs him $2 to make each cup of lemonade plus a $40 renter's fee for the stand. He sells the lemonade for $6 per cup. How many cups does Akeem have to sell to break even?(1 point)
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To break even, Akeem needs to earn enough money to cover his expenses.
His expenses consist of the cost to make each cup of lemonade, which is $2, and the renter's fee for the stand, which is $40.
So, his total expenses are $2 per cup + $40 for the stand = $42.
To cover these expenses, he needs to sell enough cups of lemonade to earn $42.
Since he sells each cup for $6, he needs to sell $42 / $6 = <<42/6=7>>7 cups of lemonade to break even.
Therefore, Akeem needs to sell 7 cups of lemonade to break even.
To determine the number of cups Akeem has to sell to break even, we need to calculate the total cost and the total revenue.
Total cost per cup = cost to make each cup + stand renter's fee
Total cost per cup = $2 + $40
Total cost per cup = $42
Total revenue per cup = selling price per cup
Total revenue per cup = $6
To break even, the total cost should be equal to the total revenue.
Number of cups to break even = Total cost / Total revenue per cup
Number of cups to break even = $42 / $6
Number of cups to break even = 7 cups
Therefore, Akeem has to sell 7 cups to break even.
To determine the number of cups Akeem has to sell to break even, we need to calculate his total costs and then divide it by the selling price per cup.
First, let's determine Akeem's total cost per cup. He spends $2 to make each cup of lemonade.
Next, we need to calculate the total fixed cost, which is the renter's fee for the stand. Akeem pays $40 for the stand.
So, the total cost per cup can be calculated as follows: $2 (cost per cup) + $40 (renter's fee) = $42.
To break even, Akeem needs to earn back his total costs by selling cups of lemonade. Since he sells each cup for $6, we can now divide the total costs by the selling price per cup:
$42 (total costs) ÷ $6 (selling price per cup) = 7 cups.
Therefore, Akeem needs to sell 7 cups of lemonade to break even.