Question

Coffeeco Company, a national coffee store, has several stores in a busy downtown area. After opening two more locations, they noticed that sales at their stores stopped growing. Which of the following is the most likely explanation for what happened?

Coffeeco spent all of its profits on opening new stores.
The cost of the coffee became too expensive for customers.
The new stores took business away from existing stores.
People in the area lost interest in buying coffee.

Answer 1

I think it is D ir A

Answer 2

@EclipsedStar

Answer 3

Sorry I meant C or A

Answer 4

I agree with C. The total stores in general are not losing money. A portion of the older stores profit is now being moved to the newer stores. There isn't any evidence from the paragraph that suggests that A is correct because it's asking why the profit decreased, but A isn't a factor of why.

Answer 5

That makes sense Thnx :D

Answer 6

Np. :)