Question

Suppose a consumer whose budget is Rs500, wants to consume only two goods, Good
X and Good Y. The goods are respectively priced at Rs50 and Rs25.
Answer the following questions on the basis of the given information :
(a) State the budget equation of the consumer.
(b) What is the slope of the budget line ?
(c) How many units can she purchase if she spends the entire Rs500
on Good X ?
(d) How many units can she purchase if she spends the entire Rs500
on Good Y, given that the price of good Y has doubled ?
OR​

Answer 1

Answer:

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