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Jenny Sells Lemonade in Front of Her House in the Summer

Question 34

Multiple Choice

Jenny sells lemonade in front of her house in the summer. Several other kids in Jenny's neighborhood also run lemonade stands in the summer. If the lemonade market is perfectly competitive, and Jenny is charging the equilibrium price, then Jenny can increase her revenue if she:


A) decreases the price of her lemonade and doesn't change her output.
B) increases the price of her lemonade and decreases her output.
C) increases the price of her lemonade and doesn't change her output.
D) keeps the price of her lemonade the same and increases the output.

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