Exhibit 6-26 Consider Exhibit 6-26.Three budget lines are shown.Which of the following statements is true about the budget lines? A)Budget line B₂ reflects the same income and price for DVDs as budget line B₁ but a higher price for books. B)Budget line B₃ reflects a higher income but the same price for both books and DVDs as budget line B₂. C)Budget line B₃ reflects higher income and the same prices for both books and DVDs as budget line B₁. D)Budget line B₁ reflects lower income than budget line B₂. E)Budget line B3 reflects a lower price ration than budget line B₃.

Question

Quizplus · Accepted Answer

The Answer of Exhibit 6-26 Consider Exhibit 6-26.Three budget lines are shown.Which of the following statements is true about the budget lines? A)Budget line B₂ reflects the same income and price for DVDs as budget line B₁ but a higher price for books. B)Budget line B₃ reflects a higher income but the same price for both books and DVDs as budget line B₂. C)Budget line B₃ reflects higher income and the same prices for both books and DVDs as budget line B₁. D)Budget line B₁ reflects lower income than budget line B₂. E)Budget line B3 reflects a lower price ration than budget line B₃.