Question

Looking to increase the profits of his lemonade stand, Johann doubled the price of a cup of lemonade from 25 cents to 50 cents. This clearly shows Johann’s lack of business sense, for now he’ll almost certainly sell fewer cups at the new price and therefore make less money than before.
The argument above assumes that:

Answer 1

Fewer cups will be sold at the higher price, to the point that it will be less profitable.