Two Months After Apple Introduced the IPhone in 2007, the Company

Multiple Choice

Two months after Apple introduced the iPhone in 2007, the company reduced the price from $600 to $400. How is this drop of price an example of price discrimination?

A) Early adopters are less sensitive to price than late adopters.
B) Early adopters have a higher demand than late adopters.
C) Early adopters have a more elastic demand curve than late adopters.
D) It's not an example of price discrimination.