Thanks for the question! So remember, Tony is basically saying that the new videocassettes are going to be cheaper. And Anna is basically saying no, because look at the royalties and the proportion of videocassette price. So she’s basically saying that the cost savings won’t be as big as you might think. And that’s what (D) says, making it the right answer.
Hope this helps! Feel free to ask any other questions that you might have.