The Lakewood baseball team is selling T-shirt for a fundraiser. The shirt cost $200 for the printing design and setup, plus $8 per shirt. The team is going to sell the shirt for $12 each. How many shirts do they need to sell to break even?

1 answer

To calculate the break-even point for the Lakewood baseball team's T-shirt fundraiser, we need to establish the costs, revenue, and the break-even formula.

  1. Costs:

    • Fixed costs (printing design and setup): $200
    • Variable cost per shirt: $8
    • Total cost per shirt: \(8x + 200\) (where \(x\) is the number of shirts sold)
  2. Revenue:

    • Selling price per shirt: $12
    • Total revenue: \(12x\) (where \(x\) is the number of shirts sold)
  3. Break-even point: At the break-even point, total revenue equals total costs.

\[ 12x = 8x + 200 \]

Now, let's solve for \(x\):

\[ 12x - 8x = 200 \]

\[ 4x = 200 \]

\[ x = \frac{200}{4} = 50 \]

The Lakewood baseball team needs to sell 50 shirts to break even.