Jay has an income of $10 to buy peanuts and popcorn.The price of peanuts is $1 a bag and the price of popcorn is $2 a bag.He chooses to consume 5 bags of peanuts and 2 bags of popcorn.What can we say about this consumption choice?
A)It is not the best affordable choice.He should consume more peanuts,more popcorn,or more of both.
B)It is the best affordable choice,and his marginal rate of substitution equals the slope of the budget line.
C)The consumption choice is on the budget line.
D)The consumption choice is outside the budget line.
E)both B and C

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The Answer of Jay has an income of $10 to buy peanuts and popcorn.The price of peanuts is $1 a bag and the price of popcorn is $2 a bag.He chooses to consume 5 bags of peanuts and 2 bags of popcorn.What can we say about this consumption choice?
A)It is not the best affordable choice.He should consume more peanuts,more popcorn,or more of both.
B)It is the best affordable choice,and his marginal rate of substitution equals the slope of the budget line.
C)The consumption choice is on the budget line.
D)The consumption choice is outside the budget line.
E)both B and C

Jay Has an Income of $10 to Buy Peanuts and Popcorn.The