Question

Question = the price of the two goods are 4 rupee per unit and 5 rupee per unit respectively and the consumer's income is 20 rupee .
(1) write the equation of the budget line ?
(2) how much of good I can the consumer buy if he spends his entire income on it ?
(3) how much of good 2 can he buy if he spends his entire income on it ? what will happen when price change from 5 rupee per unit to 10 rupee per unit ?
(4) what is the slop of the budget line ?
please solve my question
I will mark brain list
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Answer 1

Answer:

1.4x+5y=20

2.if the consumer spends his entire income on it ,he can buy 5 unit of good 1...4x=20,then x =5

3.in the same way he can buy,(5y=20,y=4) 4 unit good 2.

if the price change from 5 rs to 10 rs then he can buy 2 unit of good2

Explanation:

1.If we think there is a x unit of good1 and y unit of good 2 unit then the equation of the budget line is written above.