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Devan Roblero
on Nov 04, 2024

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Refer to Figure 6.5. Molly's budget constraint is CD. Molly's income is $75, the price of a DVD is $3 and the price of a CD is $5. At point D, she is buying ________ DVDs and ________ CDs.

A) 0; 15
B) 25; 0
C) 25; 15
D) 50; 30

Budget Constraint

The limits on the consumption bundles that a consumer can afford, based on their income and the prices of goods and services.

DVD

a digital storage format used to store high-quality video, audio, and data.

CD

Short for Compact Disc, a digital optical disc data storage format used for storing digital audio, video, and data.

  • Evaluate how changes in price and income affect the consumption quantity of products.
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Bonolo MohlomiNov 11, 2024
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