At the Initial Prices, Teodoro Is a Net Seller of Apples

Multiple Choice

At the initial prices, Teodoro is a net seller of apples and a net buyer of bananas.If the price of apples decreases and the price of bananas does not change,

A) the compensating variation must be negative and the equivalent variation positive.
B) the compensating variation must be positive and the equivalent variation negative.
C) both the compensating variation and the equivalent variation must be positive.
D) both the compensating variation and the equivalent variation must be negative.
E) the compensating variation must be negative but the equivalent variation could be of either sign.