The following is from an article in the "Overheard" section in the Wall Street Journal:

"Hi, I'm a Mac."

"And I'm a PC."

"I like to stay in those posh hotels with free coffee and 700-threadcount sheets."

"I like to stay at Motel 6."

That is the latest revelation about the great computing divide, courtesy of Orbitz Worldwide CEO Barney Harford.Touting his company's ability to differentiate itself by slicing and dicing customer data;he let on that those booking hotel rooms using Apple computers pay on average $20 more a night.The explanation could be simple:Anyone who pays a 50% or so premium for a MAC has more money to begin with.Either that or they are the ideal consumer - the type who pays through the nose for a brand.

a.All else equal, the data could suggest the demand for Mac computers has higher income elasticity than the demand for PCs.

b.When the author writes MAC buyers will "pay through the nose for a brand", he/she assumes the computers are close or perfect substitutes.

c.If consumers will "pay through the nose for a brand", the demand curve for branded products should be relatively inelastic compared to non-branded products.

d.All of the above answers are correct.

e.Only answers a. and b. are correct.