Caroline is selling soda and lemonade at the local university's baseball game. She prices the soda at $4.00 a bottle and lemonade at $7 each. These are generally much higher prices than people would normally pay. What is likely to happen to demand?
A. Demand will plummet and Caroline will receive a significant loss.
B. Caroline will be able to provide a greater supply of beverages than normal.
C. Demand will be high because people tend to forget to bring their own beverages.
D. People will be willing to pay to enhance their baseball game experience.
E. Demand will not be high, but the high margins will provide a profit.
Answer: D
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