Figure 7-12 -Refer to Figure 7-12. When Price Falls from $50 to from $50

Multiple Choice

Figure 7-12
-Refer to Figure 7-12. When price falls from $50 to $40, it can be inferred that demand between those two prices is

A) inelastic, since total revenue decreases from $8,000 to $5,000.
B) inelastic, since total revenue increases from $5,000 to $8,000.
C) elastic, since total revenue increases from $5,000 to $8,000.
D) unit elastic, since total revenue increases from $5,000 to $8,000.