This exercise continues the Sherman Lawn Service, Inc., situation from Exercise 17-35 of...

This exercise continues the Sherman Lawn Service, Inc., situation from Exercise 17-35 of Chapter 17. Sherman Lawn Service currently charges $50 for a standard lawn service and incurs $20 in variable cost. Assume fixed costs are $1,200 per month.

Requirements

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

2. If Sherman desires to make a profit of $1,500, how many lawns must serviced?