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Sandra purchases 5 pounds of coffee and 10 gallons of milk per month when the price of coffee is $10 per pound. She purchases 6 pounds of coffee and 12 gallons of milk per month when the price of coffee is $8 per pound. Sandra’s cross-price elasticity of demand for coffee and milk is A. 0.82, and they are substitutes. B. -0.82, and they are complements. C. 1.22, and they are substitutes. D. -1.22, and they are complements.
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