At a price of $8 per dozen,Chuy sells 40 dozen homemade tamales per week.When he raised her price to $12 per dozen,he still sold 40 dozen per week.Based on this information,the demand for his tamales is
A) perfectly elastic.
B) inelastic.
C) perfectly inelastic.
D) unit-elastic.

Question

Quizplus · Accepted Answer

The demand is perfectly inelastic because the quantity demanded (40 dozen) did not change when the price increased from $8 to $12.

At a Price of $8 Per Dozen,Chuy Sells 40 Dozen