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Cost-Volume-Profit Analysis : A restaurant chain is considering opening a new location with fixed costs of $200,000 per year and variable costs of $20 per
Cost-Volume-Profit Analysis: A restaurant chain is considering opening a new location with fixed costs of $200,000 per year and variable costs of $20 per meal. If the selling price per meal is $50, calculate the breakeven point in terms of the number of meals that need to be sold annually. Also, determine the target profit if the chain aims to earn $100,000 in net income from the new location.
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