Jenny Sells Lemonade in Front of Her House in the Summer

question 32

Multiple Choice

Jenny sells lemonade in front of her house in the summer. Several other kids in Jenny's neighborhood also run lemonade stands in the summer. If the lemonade market is perfectly competitive, and Jenny is charging the equilibrium price, then Jenny can increase her revenue if she:

• A)decreases the price of her lemonade and doesn't change her output.
• B)increases the price of her lemonade and decreases her output.
• C)increases the price of her lemonade and doesn't change her output.
• D)keeps the price of her lemonade the same and increases the output.

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Definitions:

Clearance

The intentional space or gap between two mating parts to ensure there is no unwanted friction or binding during operation.

Interference Fit

A method of fitting two parts together using a dimension in which the size of the hole is smaller than the size of the shaft to be inserted, creating a high-pressure seal.

Locational Fits

Types of fits defined by standard tolerances that determine how tightly or loosely two parts will connect, particularly regarding their location accuracy.

Mating Parts

Mating parts refer to components designed to fit together within an assembly, requiring precise manufacturing to ensure correct fit and function.