A student has a monthly budget of $120 to spend on either burritos, which cost $6 each, or sodas, which cost $4 each. What is the largest number of burritos that the student could afford to purchase in one month?What is the largest number of sodas the student could afford to purchase in one month? Draw the student's budget constraint. Put burritos on the x-axis and sodas on the y-axis
Q: Question 1 Maria spends all of her income of $2,000 on food (F) and clothing (C). The prices per…
A: M spends all her income on food and clothing. M=$2,000PF=$5PC=$20
Q: A consumer has income of $3,000. Wine costs $3 per glass, and cheese costs $6. What is the slope of…
A: Budget line: M = Px . X + Py . Y Slope : (-) Price ofwine Price of cheese
Q: Alex has a budget of $100 a month for movie tickets and restaurant meals. A movie ticket will cost…
A: Budget constraint formula:- PxX+PyY=I where; Px= Price of good x X= Quantity of good x Py= Price of…
Q: A consumer earns 40 dollars of income which can be saved or spent. The graph below shows the…
A: Indifference Curve (IC) is the locus of various combination of two goods which give equal…
Q: At the start of the week, Marie decides to buy a pie. Does this imply that the utility she receives…
A: Budget Organizations, Governments, and individuals utilize budgets to calculate revenue and…
Q: Suppose you have $48 to spend on the two items in the graph below. Q books 4 A 1 2 6 8 Q…
A: If movie costs $8 line B represents my budget constraint. If books costs $12 line B represents my…
Q: Maria spends all of her income of $2,000 on food (F) and clothing (C). The prices per unit are: PF =…
A: (Q) Maria spends all of her income of $2,000 on food (F) and clothing (C). The prices per unit are:…
Q: Suppose a student has monthly income of Rs 10,000. He consumes only two commodities Sandwich and…
A: Budget constraint represents the various combinations of two goods that a consumer can purchase with…
Q: Assuming the two good case. When a person is attempting to maximize utility and the price of one of…
A: The term utility refers to the want satisfying power of any commodity. The associated term is…
Q: Suppose the price of pizza is $10, the price of cola is $1, and the consumer's income is $60. In…
A: Given that Income(M)= 60 Px= Price of pizza = $10 Py= Price of Cola =$1
Q: Jessie has a budget of $50 and is attempting to draw her budget constraint for purchasing cookies…
A: Price of goods can be calculated by using the following formula.
Q: The initial budget constraint (BC1) shows the Gaffneys' budget constraint when the price of a fancy…
A: The income from dining experiences and morning diners must be -- 7 x 50 + 67 x 5 = $685. (They…
Q: As an economics student your budget for meals at the university is Rs 12,000 and you have two…
A: The budget line shows the combination of two goods that a consumer can purchase. The quantity of…
Q: Maria spends all of her income of $2,000 on food (F) and clothing (C). The prices per unit are: PF =…
A: (g) The opportunity cost of getting one piece of clothing would be 400100=4 units of food, which…
Q: Marie has a weekly budget of $24, which she likes to spend on magazines and pies. If the price of a…
A: Budget Governments, organisations, and individuals use budgets to estimate revenue and expenses for…
Q: Marissa has $30 to spend on beer and hamburgers. Beers are $3/beer and hamburgers are $5/hamburger.…
A: Budget constraint: - it is a graphical representation of different bundles of goods that a consumer…
Q: You were presented with a utility maximizing rule which states: If you always choose the item with…
A: A state of maximal satisfaction is referred to as Consumer's Equilibrium. The consumer's equilibrium…
Q: A budget constraint, budget set or budget line: 1. Illustrates the combination of units of…
A: The economics is considered to be a very vast area of study, as economics is used in everyday life,…
Q: A student living in a university hostel has two options for meals: eating at the dining hall for…
A: Budget constraint: - it is graphical representation of different bundles of goods that a consumer…
Q: Ruby loves dividing her free time between going to the movies and reading. She has 20 hours per week…
A: Given: Amount per week=60 Cost of going of movies=6 Cost of books=15
Q: As a college student you work at a part-time job, but your parents also send you a monthly…
A: Budget constraint line shows the different possible combination of goods that can be purchased…
Q: Assume that Sara has $800 per month to divide between playing golf and playing paint ball . Assume…
A: Budget constraint (P1Q1 + P2Q2) <= M
Q: Breakdown the shift from the original point of consumption to the new point of consumption using the…
A: The income effect measures the change in quantity consumed due to the change in the purchasing power…
Q: Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500.…
A: A budget line illustrates the combinations of two goods that are affordable to a consumer with a…
Q: Maria spends all of her income of $2,000 on food (F) and clothing (C). The prices per unit are: PF =…
A: Given that: Maria spends all of her income of $2,000 on food (F) and clothing (C). The prices per…
Q: Suppose a consumer has a budget of $200 to spend on two goods, X and Y, whose prices are $20 and…
A: Answer: Given, Total budget = $200 Price of good X PX=$20Price of good Y PY=$10 (d). A consumer is…
Q: To reach consumer equilibrium, which of the following consumption choices must be made? The total…
A: Answer - Need to find- To reach consumer equilibrium, which of the following consumption choices…
Q: Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500.…
A: Monthly income = $1500 Price of meatloaf = $375Price of pineapple = $150
Q: The marginal rate of transformation of y for x represents * a)the rate at which the consumer…
A: The marginal rate of substitution refers to the rate at which a consumer gives up a good to get an…
Q: Suppose that price of good X falls by 50 % while price of Y falls by 25% and Income falls by 50%.…
A: Assume the budget line before the change is : 10x+20y=200 Px=10 and Py=20 Price of x falls by 50%…
Q: Bob lives in San Diego and loves to eat desserts. He spends his entire weekly allowance on pudding…
A: Marginal rate of substitution can be explained as the rate at which a consumer is willing to give up…
Q: Suppose that a typical consumer’s utility function is characterized by the following relation…
A: According to question resource available to the consumer is 160 birr . Taking birr as the currency…
Q: Suppose Cawlin has a budget of $90 that he spends on movies (Q) and roller skating (Qa. The price of…
A: The budget constraint of a consumer is the maximum amount of two goods which a consumer can buy…
Q: Suppose you had a budget of $20.00 and the prices of a burger and a slice of pizza are $5.00 and…
A: (Q) Suppose you had a budget of $20.00 and the prices of a burger and a slice of pizza are $5.00 and…
Q: Suppose a student has monthly income of Rs 20,000. He consumes only two commodities Sandwich and…
A: Budget line refers to the straight line which shows the amount of goods that can be purchased with…
Q: Suppose Raymond decides to cut his monthly budget in half. Coincidentally, the next time he shops,…
A: *Answer:
Q: Suppose the price of product X is Rs.500 and the price of product Y is Rs.1000 and one of a family…
A: Definition Budget line: It is a locus of points which shows all the possible combinations of the two…
Q: Maria spends all of her income of $2,000 on food (F) and clothing (C). The prices per unit are: PF =…
A: Opportunity cost refers to the value of given up benefit in the process of obtaining some other…
Q: Raymond consumes meatloaves and pineapples. He has decided that his monthly budget will be $1500.…
A: Given : M=budget=$1500 Price of meatloaf=$375 and price of Pineapple= $150 Let m be the quantity of…
Q: As an economics student your budget for meals at the university is Rs 12,000 and you have two…
A: An indifference curve shows a combination of two goods that provides equal satisfaction to the…
Q: Now suppose Andrew’s income increases by 50%: That is, he has 50% more money to spend than he did…
A: The budget constraint is a limited time limit — all possible combinations of operating costs…
Q: Suppose the following table reflects the total satisfaction (utility) derived from eating pizza:…
A: Law of DMU states that when a person consumes a commodity, the satisfaction he/she derives from the…
Q: Suppose Victoria has a budget of $66 that she spends on movies (Q1) and roller skating (Q:). The…
A: Budget constraint: - it is the representation of different combinations of two goods that a consumer…
Q: Alex has a budget of $100 a month for movie tickets and restaurant meals. A movie ticket will cost…
A: Given Alex total budget for movie tickets and restaurant meals (m)=$100 Price of movie ticket P1…
Q: Assuming the two good case. When a person is attempting to maximize utility and income increases,…
A: Answer: When the income of consumers rises then the budget line shifts outward. In that case, the…
Q: Which combinations of burritos and sodas are unaffordable--those to the left of the line in the…
A:
Q: Suppose Sam has a weekly budget of $48 to spend on juice and yogurt. Juice is priced at $4 per…
A: Given Weekly budget of Sam = $48 Price of juice =$4 per gallon yogurt price = $2 per container
Q: Why must a budget constraint have a negative slope? Income and quantity demanded are inversely…
A: Note: “Since you have asked multiple questions, we will solve the first question for you. If you…
Q: A student has a monthly budget of $120 to spend on either burritos, which cost $6 each, or sodas,…
A: Budget line shows or exhibits the different combinations of two goods that a consumer can buy with…
A student has a monthly budget of $120 to spend on either burritos, which cost $6 each, or
sodas, which cost $4 each.
What is the largest number of burritos that the student could afford to purchase in one
month?What is the largest number of sodas the student could afford to purchase in one month?
Draw the student's budget constraint. Put burritos on the x-axis and sodas on the y-axis.
Budget constraint refers to all possible points of consumption where the consumer utilizes its full budget.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- Use the following information to answer questions 1 through 8: A student has a monthly budget of $120 to spend on either burritos, which cost $6 each, or sodas, which cost $4 each. What is the largest number of burritos that the student could afford to purchase in one month? What is the largest number of sodas the student could afford to purchase in one month?Suppose John decides to buy 4 units of food and 4 units of clothing with his $12 budget. Would his marginal utility per dollar spent on food be greater than or less than his marginal utility per dollar spent on clothing? What does this tell you about how he should substitute food for clothing if he wanted to increase his utility without spending any more money?Marie has a weekly budget of $24. Pie's are $12. Magazine's are $4. What is the maximum number of pies Marie can buy in a week? What is the maximum number of magazines Marie can buy in a week?
- Raymond consumes meatloaves and pineapples. He has decided that hismonthly budget will be $1500. Suppose that one meatloaf costs $375, while one pineapple costs $150. Suppose Raymond decides to cut his monthly budget in half. Coincidentally, the next time he shops, he learns that meatloaves and pineapples are on sale for half price. Show what happens to Raymond’s budget line?Suppose you have a budget of $12 and cost of a cola is $2 and sandwich is $4. Using this information form the table, how many sandwiches and cola would you buy at the optimum?Louis is trying to decide what combination of cups and plates to buy. His budget is $12. Plates cost $4 each and cups cost $2 each. The numbers in the table represent total utility. Given his budget, which combination will maximize total utility? number of plates and cups.
- Brenda wants to buy new car and has a budget of $25,000. She has just found a magazine that assigns each car an index for styling and an index for gas mileage. Each index runs from 1 to 10, with 10 representing either the most styling or best gas mileage. While looking at the list of cars, Brenda observes that on average, as the style index increases by one unit, the price of the car increases by $6,250. She also observed that as the gas-mileage index rises by one unit, the price of the car increases by $5,000. Illustrate the various combinations of style (S) and gas mileage (G) that Brenda could select with her $25,000 budget. Using the line drawing tool, illustrate Brenda's budget line. Label this line 'Budget Line'. Carefully follow the instructions above, and only draw the required object. Suppose Brenda's preferences are such that she always receives two times as much satisfaction from an extra unit of styling as she does from gas mileage. What type of car will Brenda choose?…Suppose you have a budget of 30 to spend on two goods: pizzas and burgers. Each pizza is $5 while each burger is $10. Suppose you already purchased 6 pizzas. What is the maximum number of burgers that you can buy with the remaining funds in your budget?A student has a monthly budget of $120 to spend on either burrito, which cost $6 each, or sodas, which cost $4 each.Draw the student's budget constraint. Put burritos on the x-axis and sodas on the y-axis. Which combinations of burritos and sodas are unaffordable--those to the left of the line in the graph or those above the line in the graph? Why? Which combinations would leave some budget unspent - those to the left of the line in the above graph or those to the right of the line in the above graph?
- Brenda wants to buy a new car and has a budget of $24,000. She has just found a magazine that assigns each car an index for styling and an index for gas mileage. Each index runs from 0 to 12, with 12 representing either the most styling or the best gas mileage. While looking at the list of cars, Brenda observes that on average, as the style index increases by one unit, the price of the car increases by $2,000. She also observes that as the gas-mileage index rises by one unit, the price of the car increases by $4,000. (a) Illustrate (for yourself) the various combinations of gas mileage (G) and style (S) that Brenda could select with her $24,000 budget. Place gas mileage on the horizontal axis. • Her budget line is given by 4,000*G + [ Select ] *S= [ Select ] • The X-intercept of her budget line is equal to [ Select ] • The Y-intercept of her budget line is equal to [ Select ]Marie has a weekly budget of $24, which she likes to spend on magazines and pies. If the price of a magazine is $4 each, what is the maximum number of magazines she could buy in a week?A consumer sets themselves a weekly budget of $15 for vegetables. They only eat carrots and peas. Peas cost $1.50 per pound and carrots cost $1.00 per pound. 2. Draw a budget line for the consumer showing his possible weekly consumption of peas and carrots. Label both axes with numbers and an axis title. Add a second line that shows what happens when carrots go on sale for $0.75 per pound. Upload your diagram. Please give typed answer ASAP with proper explanation of it. Will give you thumbs up only for the correct answer. Thank you .