The correct answer is A) if the cost of furniture was actually less than the price Wally believes it actually he would be able to sell it for.
Wally has a hobby. He likes making furniture. He finds that he gets many compliments on the furniture he makes. The reason for Wally's best interest to go to a craft fair and sell some of his custom furniture is that: "if the cost of furniture was actually less than the price Wally believes it actually he would be able to sell it for."
What Wally needs to consider is that as he elaborates the furniture in his own workshop, he is an artisan, creating his furniture one at the time. For that reason, the cost is higher than the furniture manufactured in fabrics. Although his furniture receives compliments, if he wants to participate in a craft fair where other artisans are going to exhibit their own creations, he has to consider the costs of the elaboration of his furniture to set the right price for his creations. In the end, the elaboration process is costly, Wally needs to get an income for every piece sold but at the same time, the furniture has to be sold at an affordable price for the public.
