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Ryan runs a very popular diner in the city of Kingston, ON. He pays $2,000 per month in rent and pays an average of $25,000
Ryan runs a very popular diner in the city of Kingston, ON. He pays $2,000 per month in rent and pays an average of $25,000 in wages to 4 part-time employees, and pays himself a salary of $70,000. For each meal that he sells, he pays $0.35 in wrappings, $1.50 in meat, $1.50 in fruits and vegetables, and $0.25 in potato. This year, Ryan invested in some renovations to his space that cost $15,000. As a result, his insurance has increased to $120 per month. He also paid $1200 to replace some kitchen equipment that broke down, and $25,000 in advertising. He normally pays $15,000 per year in advertising, but this year was a big year and so he paid extra to sponsor some events and throw a 'Grand Reopening' event. Next year, he will likely go back to paying $15,000 in advertising expenses. What are Ryan's total monthly fixed costs, one-time fixed costs, and variable costs? Assume that the meals Ryan sells have an average selling price of approximately $19.95. What is Ryan's breakeven for this year in units
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