The Weenie Man Assume one month has four weeks. Ignore payroll and income taxes. Mike Lowry owns a hot dog stand called The Weenie Man (TWM). He operates his stand on a busy street corner between the hours of 10am and 3pm, Monday - Friday. He sells hot dogs for $7/each, churros for $5/each and bottled water for $3/each. He also offers free condiments to his customers. He buys hotdogs in packages of 100 for $40 and packages of 80 buns for $36. Frozen churros cost $100 for a pack of 40 and bottled water costs $18 for a pack of 24. Each month, TWM buys king sized jars of mustard and ketchup for $100 each, onions and relish for $150 each and a vat sauerkraut $200. For health and safety reasons, he replaces all condiments on the first of every month, even though they are not usually empty. Mike bought his cart 3 years ago for $252,000 and expects that it will last for a total of seven years. The cart came with a solar panel, so he does not have utility costs. He pays for an annual street vendor permit in the amount of $6000 and renews his safe food handling certification once a year for a cost of $1200. He carries liability insurance, which costs $4,800 every six months. On average, sells 200 hot dogs, 80 churros and 120 bottles of water each day.