Figure: Harold's Indifference Curves The figure shows three of Harold's indifference curves for bread and cheese. (Figure: Harold's Indifference Curves) Look at the figure Harold's Indifference Curves.If the price of bread is $0.50 per loaf, the price of cheese is $1, and Harold has $7 to spend on bread and cheese, what is Harold's optimal consumption bundle of bread and cheese?
A)6 loaves of bread and 4 pounds of cheese
B)4 loaves of bread and 3 pounds of cheese
C)3 loaves of bread and 2 pounds of cheese
D)2 loaves of bread and 8 pounds of cheese

Question

Figure: Harold's Indifference Curves The figure shows three of Harold's indifference curves for bread and cheese.  (Figure: Harold's Indifference Curves) Look at the figure Harold's Indifference Curves.If the price of bread is $0.50 per loaf, the price of cheese is $1, and Harold has $7 to spend on bread and cheese, what is Harold's optimal consumption bundle of bread and cheese?
A)6 loaves of bread and 4 pounds of cheese 
B)4 loaves of bread and 3 pounds of cheese 
C)3 loaves of bread and 2 pounds of cheese 
D)2 loaves of bread and 8 pounds of cheese

Quizplus · Accepted Answer

The Answer of Figure: Harold's Indifference Curves The figure shows three of Harold's indifference curves for bread and cheese.  (Figure: Harold's Indifference Curves) Look at the figure Harold's Indifference Curves.If the price of bread is $0.50 per loaf, the price of cheese is $1, and Harold has $7 to spend on bread and cheese, what is Harold's optimal consumption bundle of bread and cheese?
A)6 loaves of bread and 4 pounds of cheese 
B)4 loaves of bread and 3 pounds of cheese 
C)3 loaves of bread and 2 pounds of cheese 
D)2 loaves of bread and 8 pounds of cheese

Figure: Harold's Indifference Curves the Figure Shows Three of Harold's