a) Determine the net profit of the projects and hence, advice Fuandem on which of the projects to engage in. b) State and explain three methods that can be used by an entrepreneur to increase sales.

You're on a roll — Here are the answers to the questions from the image: QUESTION 7: a) Determine the net profit of the projects and hence, advice Fuandem on which of the projects to engage in. Step 1: Calculate the Net Profit for Project A. Net Profit (A) = Turn over - Cost of goods sold - Selling and distribution expenses Net Profit (A) = 50,000 FCFA - 15,000 FCFA - 1,500 FCFA Net Profit (A) = 35,000 FCFA - 1,500 FCFA = 33,500 FCFA Step 2: Calculate the Net Profit for Project B. Net Profit (B) = Turn over - Cost of goods sold - Selling and distribution expenses Net Profit (B) = 80,000 FCFA - 25,000 FCFA - 250 FCFA Net Profit (B) = 55,000 FCFA - 250 FCFA = 54,750 FCFA Step 3: Advise Fuandem based on the net profits. Project A Net Profit = 33,500 FCFA Project B Net Profit = 54,750 FCFA Since Project B yields a higher net profit, Fuandem should engage in Project B. Net Profit for Project A: 33,500 FCFA Net Profit for Project B: 54,750 FCFA Fuandem should engage in Project B. b) State and explain three methods that can be used by an entrepreneur to increase sales. 1. Promotional Campaigns: An entrepreneur can offer discounts, run special sales, or implement loyalty programs to attract new customers and encourage repeat purchases. 2. Marketing and Advertising: Utilizing various channels like social media, local advertisements, or online ads can increase product visibility and reach a wider audience, thereby boosting sales. 3. Product/Service Diversification or Improvement: Introducing new products or services, or enhancing the quality and features of existing ones, can appeal to different customer segments and increase overall demand. c) Which are the four likely sources from which he might have gotten the information that he used? 1. Market Research: Information gathered through surveys, interviews, or focus groups to understand customer needs, preferences, and market trends. 2. Industry Reports and Publications: Data and analysis from trade journals, government statistics, or specialized market research reports that provide insights into the industry. 3. Competitor Analysis: Observing and studying the strategies, pricing, products, and marketing efforts of direct and indirect competitors in the market. 4. Customer Feedback: Direct input from potential customers through conversations, reviews, or suggestions, helping to refine product ideas and understand demand. Send me the next one 📸