Figure 10-9
-Refer to Figure 10-9.Consider the budget constraint BC1.If the price of DVDs is $20 and the price of CDs is $10,what is the consumer's income?

Question

Figure 10-9 
-Refer to Figure 10-9.Consider the budget constraint BC1.If the price of DVDs is $20 and the price of CDs is $10,what is the consumer's income?

Quizplus · Accepted Answer

The budget constraint BC1 represents the consumer's income. If the price of DVDs is $20 and the price of CDs is $10, and assuming the consumer can buy a maximum of 12 DVDs (12 * $20 = $240) or 24 CDs (24 * $10 = $240), the consumer's income is $240.

Figure 10-9 -Refer to Figure 10-9.Consider the Budget Constraint BC1.If the Price