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First, we need to calculate how much money Emma has left after buying the book and setting aside money for lunch.
Emma starts with $26 and spends $12.81 on the book, so she has $26 - $12.81 = $13.19 left.
Next, we need to determine how many packages of stickers Emma can buy with the remaining money.
Since each package of stickers costs $0.42, we divide the remaining money by the cost per package:
$13.19 / $0.42 = 31.40.
Since Emma cannot buy a fraction of a package of stickers, the maximum number of packages she can buy is 31.
Therefore, p ≤ 31. The correct answer is p ≤ 7.