Demand for milk is given by the function P = 10 - 0.5Q. Price of milk falls from $2 per unit to $1.50 per unit.

Which of the following is true?

a.

Demand for milk is elastic, and total expenditure on milk will decrease.

b.

Demand for milk is inelastic, and total expenditure on milk will decrease.

c.

Demand for milk is inelastic, and total expenditure on milk will increase.

d.

Demand for milk is elastic, and total expenditure on milk will increase.