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It's September and Sophia Wants to Buy Some Arts and Crafts

question 58

Multiple Choice

It's September and Sophia wants to buy some arts and crafts supplies for an after-school program she is developing for her daughter's elementary school.In her Sunday newspaper was a flyer from Michael's,an arts-and-crafts retailer.As she looked through the newspaper insert,she noticed that if she purchased three or more bottles of Alene's Tacky Glue,the regular price of $1.50 each was reduced to $1.15 each.She also saw that the store priced its plastic storage boxes at $1.99,$3.99,and $5.99.She thought they would be useful for storing each individual child's projects.On the front page of the flyer was an ad for Funky Girls Gel Pens,something she knew her daughter would love to use.The price at Michael's was $6.99 lower than the price she had found at the other stores that carried the pens.She thought that some of the older girls might like to start a scrapbook and was pleased to find that Michael's had a scrapbook starter kit,which includes scissors,book,pages,and stickers for only $15.The items could be purchased separately for $19.99.The flyer also announced that all flag-related items leftover from its Canada Day sale were reduced by 40 percent.
-Refer to Art Supplies.What pricing practice was used with the scrapbook starter kit?

Definitions:

Shortage

A situation where the demand for a product or service exceeds the available supply at a particular price.

Supply Curve

A graphical representation showing the relationship between the price of a good or service and the quantity of it that suppliers are willing to provide at that price.

Ticket Scalpers

Individuals who purchase tickets to events at face value and then sell them at a higher price, typically without authorization, aiming to profit from the high demand.

Consumers

Individuals or entities that purchase goods or services for personal use rather than for manufacturing or resale.