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The ABC Colfee shop ABC. Coffee is a popular lacal coffee shop in a suburban neiphtorhood. With incressing demand and positive feedback from customers, the
The ABC Colfee shop
ABC. Coffee is a popular lacal coffee shop in a suburban neiphtorhood. With incressing demand and positive feedback from customers, the owners are comemplating expanding, their operations by apening a secend location in a nearby commercial district. Howner, they are unsure about the financial feasibility of this expansion and whether the new location will generate enough revenue to cover its cases
ABC Coffee will have to buy equipment warth $ tor the new loction which they will hove to finance through a business kaan.
The following are the costs associated with funning the new location:
rent for the new lacation: $ per month
Utilities: $ per month
Salaries for additional stalf: $ per month
Marketing and prombtianal expenses: $ ger manth tor the first three months and $ far the following months
Cost of coffee beans: $ per cup
Cost of milk, sugar, and other ingrediens: per oup
Disposable cups and lids $ per cus
They plan to sell each cup of coffee for $
Ohe interest kan, for a term of vedrs
How many cugs of coffee will they have to sell to trmak eupn atter years?
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