You are thinking about starting a business selling hot dogs at county fairs to provide you with some extra income. What numbers should you fully understand before starting the business?

• the amount of money derived by dividing your fixed costs by your contribution margin

• the result of dividing the number of hot dogs you need to sell by the number of hours in a day

• the amount of sales of food items that other vendors at the county fairs generate

• the result of treating your expected profit the way you treat a fixed cost