<u>Solution and Explanation:</u>
<u>The following method will be used
</u>
The total cost of the firm = 10 multiply with 200 = $2,000
The Profit per client = $400
Let x be the no of clients required for break even. At break-even point,
The total profit = The total cost
400x = 2,000, The value of x is to be calculated
We get, x = 2,000 divided by 400 = 5 clients
Hence, secretary should arrange 5 clients to break even.