Question

At a price of​ $0.50, how many more or fewer cups of lemonade do Caroline and Emily sell when the temperature is 50 degrees than when the temperature is 80​ degrees?

Answer 1

Answer:

The correct answer is 15 fewer cups of Lemonade

Explanation:

This is simple economics. If the price remains constant at $0.15 and the temperature has now decreased by 50 degrees, the cooler weather would mean that less people are thirsty and actually interesting in drinking Lemonade.

This question is based on an graph and as you move the line along the graph, you will be able to see how demand changes.

In this example, if Caroline and Emily want to maintain their sales or even increase them, they might have to reduce the price of the lemonade to make it more attractive and easy to sell in colder weather.