Table 6-5 -Refer to Table 6-5.Katie Graham Owns a Kayak Rental Service

question 76

Multiple Choice

Table 6-5

-Refer to Table 6-5.Katie Graham owns a kayak rental service in Santa Barbara.Table 6.5 shows her estimated demand schedule for kayak rentals per week.She would like to increase her sales revenue by changing the price she charges for rentals.At present she charges $75.Based on the information in the table, Katie

• A)is not able to increase her revenue by changing her price because the demand for kayak rentals is unit elastic.
• B)should lower her price to $60 to increase her revenue because the demand for kayak rentals is price elastic.
• C)should raise her price to $80 to increase her revenue because the demand for kayak rentals is price inelastic.
• D)should raise her price to earn the most revenue.

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Definitions:

Integration

The process whereby people retain aspects of their former culture while internalizing aspects of a new host culture.

Socialization

The process through which individuals learn and internalize the norms, values, and behaviors necessary for functioning within their society.

Acculturation

The process whereby individuals adapt their behavior in response to exposure to a new culture.

Cultural Diffusion

The transmission of societal customs and cultural ideologies among different groups.