Sarreno Cheese Co.supplies mozzarella cheese to pizza restaurants at $1.50 per pound.In order to snare the business from one large pizza chain, Sarreno offers to sell them cheese at $1.25 per pound.This will violate the Robinson-Patman Act unless:
A) the pizza chain can already get the cheese for $1.25 elsewhere.
B) Sarreno can show its price is justified because of a cost savings based on quantity.
C) Sarreno lowers the price to all its customers.
D) Two of the above, (b) and (c) .
E) Any of the above.
Correct Answer:
Verified
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