Break-even point can be defined as a point where one has no profit or no loss. The amount of goods sold and revenue generated by selling are same.
The material to make each bracelet costs or the cost price is= $7.50
Selling price of each bracelet = $ 32.50
Profit earned per bracelet = [tex]32.50-7.50=25[/tex]
Price of the booth = $225
If i want to achieve a break even point, my profit for sales of bracelet should be equal to the rent of the booth.
It becomes= [tex]\frac{225}{25} =9[/tex]
So the minimum number of bracelets I need to sell is 9, to get a break even point of no profit no loss.
