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Please help me solve this word problem

ASU bookstore is selling silk-screened T-shirts for the Thanksgiving Homecoming game.  The setup fee is $150.00.  The total cost to produce 100 T-shirts is $2000. The bookstore will sell the T-shirt for $25. How much is the bookstore paying for each shirt? The bookstore wants to produce 600 T-shirts.  Should the bookstore produce the shirts? 
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1 Answer

Cost = $150 + ($2000/100)x, where x is the number of T-Shirts produced
 
The cost for 600 shirts would be $150 + ($20)(600) = $12,150
 
The average cost of each shirt = $12,150/600 = $20.25
 
At a selling price of $25 per shirt, the bookstore needs to sell $12,150/$25 = 486 shirts to break even.
 
So if the book store thinks it can sell at least 486 of the 600 shirts, then it should go ahead and produce the shirts.

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this answer is incorrect 
 
the cost for 600 shirts would be
 
100 shirts cost $2000 including the set up fee being $150
 
so $2000 - $150 = $1850 for 100 shirts
 
$1850 / 100 = $18.50 would be the cost per shirt
 
$18.50 x 600 shirts = 11,100 + $150 = $11, 250 total cost for 600 shirts
 
600 shirts sold @ $25 each = $15,000
 
$15,000 - $11, 250 for cost of shirts = $3,750 profit
 
To break even the store would have to sell 450 shirts
 
 
 
 

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