asked 17.4k views
1 vote
Candace sells the muffins in her bakery at a higher price than the big-box grocery but she has a steady stream of customers willing to pay what she asks. candace also supports local charities. what would likely happen if she lowered her prices and stopped her charitable contributions?

2 Answers

4 votes

Answer:

Customers would go elsewhere.

Step-by-step explanation:

answered
User Dsb
by
8.5k points
1 vote

Answer: Customers would go elsewhere.

Explanation: Candace sells the muffins in her bakery at a higher price because she has a steady stream of customers willing to pay what she asks. She also supports local charities. This shows that there a positive association between Candace sale, her price and her support for the charity. Therefore, when she lower her price and stops her Charity contribution her sale should go down. This means that the customers will go elsewhere.

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