Question

A coffee shop is evaluating the effect of cutting the price of premium coffee from R40 to R38 a cup. Current sales are 3 800 cups per year. The firm believes the price increase will result in selling 200 additional cups. It also expects increased sales of chocolate cake, as a result of the coffee promotion - from 200 to 220 cakes per year

Answer 1

Current sales are 3 800 cups per year

increase sales 3800+200= 4000

coffee promotion - from 200 to 220 cakes per year