Question

decision point: how will skyrocketing tuition affect moondogs?
youve just learned that tuition and fees for the next semester are expected to increase by 15%. how do you think this will impact demand for moondogs coffee?
select an option from the choices below and click submit.

• demand for moondogs coffee likely will remain unchanged.
• demand for moondogs coffee likely will decrease.
• demand for moondogs coffee likely will increase.

Explanation:

Tuition increase means students have less disposable income. Moondogs Coffee is likely a normal good (or students cut back on non - essential/less - preferred items when budget is tight). With less money to spend, demand for Moondogs Coffee is likely to decrease.

Answer:

B. Demand for Moondogs Coffee likely will decrease. (Note: Assuming the middle option is labeled B. If the original options had different labels, adjust accordingly. Based on the visual, the middle option is the one with the downward arrow and the text "Demand for Moondogs Coffee likely will decrease.")