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Calculate the number of monthly members (monthly memberships) to Break Even. Break Even monthly memberships:

You plan to offer personal training to members for an additional fee.
This will generate additional credit card revenue of $5,200 per month.
A personal trainer will need to be hired at $33,600 per year (treat salary costs the same as the Full Time Manager)
Assume these additional revenues and costs will remain the same each month (even if the quantity of members change).
			Variable
Line Item	Amount		Fixed
Advertising (Ad Fee)	$ 300	per month	Fixed
Advertising (General)	$ 1,000	per month	Fixed
Cleaning	$ 1,500	per month	Fixed
Credit Card Processing Fees	3%	of revenue collected	Variable
Equipment Rental	$ 5,000	per month	Fixed
Franchise Fee	$ 549	per month	Fixed
Full Time Manager Salary	$ 42,000	annual	Fixed
Insurance	$ 300	per month	Fixed
Membership Dues	$ 40.00	per month per member	Variable
Part Time Manager Wages *	$ 2.50	per month per member	Variable
Rent	$ 4,750	per month	Fixed
Repairs and Maintenance	$ 350	per month	Fixed
Software (A.H.M)	$ 250	per month	Fixed
Software (Access Fee)	$ 249	per month	Fixed
Software (Training Suite)	$ 149	per month	Fixed
Supplies	$ 1.00	per month per member	Variable
Utilities	$ 2,250	per month	Fixed
Additional Information
The fitness center is projected to have 700 members per month
All revenue collected (100%) is from credit cards
Payroll taxes (Social Security/Medicare) is an additional 7.65% of payroll
* The part time manager wages rate already includes Social Security and Medicare payroll taxes
Although some utilities are semi variable costs (mixed) in nature, treat all utility costs as fixed

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