In a discount store Lee found a "sun kit" containing a beach towel,a sun visor,and suntan lotion.The items,which were sold together,retailed at $18.50,but were marked down to $12.99.The retailer sold one for $18.50 and six at the $12.99.Demand for the sun kit package is:
A) unitary
B) synergistic
C) asymmetrical
D) inelastic
E) elastic

Question

Quizplus · Accepted Answer

Demand is elastic because the price reduction from $18.50 to $12.99 resulted in a significant increase in the quantity sold, from one unit to six units.

In a Discount Store Lee Found a "Sun Kit" Containing