-The above figure shows one of Cheri's indifference curves.Suppose point a represents the best affordable point for Cheri.Cheri's best affordable point could move to point b if
A) marginal utility increases.
B) total utility increases.
C) the price of a CD falls and the price of a book rises.
D) the price of a CD rises and the price of a book falls.
E) Cheri's budget increases.

Question

-The above figure shows one of Cheri's indifference curves.Suppose point a represents the best affordable point for Cheri.Cheri's best affordable point could move to point b if
A) marginal utility increases. 
B) total utility increases. 
C) the price of a CD falls and the price of a book rises. 
D) the price of a CD rises and the price of a book falls. 
E) Cheri's budget increases.

Quizplus · Accepted Answer

If the price of a CD rises and the price of a book falls, Cheri's budget constraint would change, potentially making point b the new best affordable point on her indifference curve.

-The Above Figure Shows One of Cheri's Indifference Curves