Two friends approach you with an idea for a business laying hardwood floors. The deal would work like this: For every job you work, you would charge $40 per hour, plus a one-time fee of $150. But you would need to split what you make with your other two friends — you would only keep a third of the proceeds. You would also be responsible for half of the cost of renting the equipment necessary (the company will pay the other half). The equipment costs $20 per hour, plus a one-time surcharge of $200.

How long would you need to work a job to break even? Is this a good deal?

∴ You're looking for the value where what you are earning is equal to what you are being charged, or in other words, the value where your earnings minus your expenses equal zero.