Asked by
Devan Roblero
on Nov 04, 2024Verified
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.
Verified Answer
BM
Learning Objectives
- Evaluate how changes in price and income affect the consumption quantity of products.