Scenario: Mr

Multiple Choice

Scenario: Mr. Olivander has a monopoly on supplying magic wands. The table below shows the demand schedule for magic wands per day.

-Refer to the scenario above.Mr.Olivander used to sell two wands per day.Now he plans to cut back his sale to only one wand.The price effect of this plan is a ________,and the quantity effect of this plan is a ________ in his revenue.

A) $25 decrease; $130 increase
B) $90 decrease; $65 increase
C) $25 increase; $65 decrease
D) $65 decrease; $90 increase