Suppose that an iso-profit line is given to be X + Y = 10. Which of the following represents another iso-profit line for the same scenario?
A) X + Y = 15
B) X - Y = 10
C) Y - X = 10
D) 2X + Y = 10
E) 2Y - X = 15

Question

Quizplus · Accepted Answer

An iso-profit line indicates all the combinations of X and Y that generate a constant profit. Therefore, any other iso-profit line would also generate the same constant profit. Since the sum of X and Y is constant (10), any iso-profit line with a sum of X and Y equal to another constant (e.g. 15 in choice A) would represent a different combination of X and Y that generates the same constant profit as the original iso-profit line. The other choices do not satisfy this condition.

Suppose That an Iso-Profit Line Is Given to Be X