If Sam, the Pizza Man, lowers the price of his pizzas from $6 to$5 and finds tha
ID: 1239634 • Letter: I
Question
If Sam, the Pizza Man, lowers the price of his pizzas from $6 to$5 and finds that sales increase from 400 to 600 pizzas per week,then the demand for Sam's pizzas in this range is:
A) price elastic.
B) income inelastic.
C) cross elastic.
D) price inelastic.
E) unit elastic.
A local restaurant offers an "all you can eat" Sunday brunch for$12. Susan eats four servings, but leaves half of a fifth helpinguneaten. Why?
A) Her marginal value of a serving has fallen below $2.36($12 divided by 5 servings).
B) The total value she places on brunch today exactlyequals $12.
C) Her marginal value of food has fallen to zero.
D) Her marginal value of a serving of brunch has fallenbelow $12.