You should have said something like, "You know, I'd much rather look at all of you naked."
There are two possible outcomes. They'd either get upset, or they'd respond positively.
And if they actually did think you where gay, and wheren't just harrasing you (which is quite likely) they'd get the hint.
I got called a fag a bit though that was mostly in elementary. (Grades 6/7) I don't know if they really thought I was gay or not though.
And I don't want to offend anyone here, but I do think that many people who are think they are asexaul may not be. I will however agree with the notion that not everyone is "interested" in someone. But I think still they might find someone they are attracted to, or become attracted to someone.
I wasn't too far off from asexual I think myself until women started being pretty clear that they where sexaully attracted to me.
Again, I don't mean to offend. And regardless of if you're asexual or not, you don't have to have sex/date/get married/have children and all that. I only bring this up because I think it's important to know yourself.
We have some crazy mixed up values. At the same time there's pressure to be gay, straight, bi, and asexaul while at the same time if you're any of those you'll get people being down on you for your preference or lack of. (Mind you straight people don't get MUCH crap, almost negligible really)