Question : 21) The figure above shows Sarah’s budget line. Sarah earns : 1238718

21) The figure above shows Sarah’s budget line. Sarah earns $500 per week selling baskets made out of tree vines. With this money she buys sushi and rose bushes. Each piece of sushi costs $1 and each rose bush costs $10. Sarah will be at what point on her budget line if she spends $300 per week on rose bushes?

A) Point a

B) Point b

C) Point c

D) Point f

E) Point e

22) The figure above shows Sarah’s budget line. Sarah earns $500 per week selling baskets made out of tree vines. With this money she buys sushi and rose bushes. Each piece of sushi costs $1 and each rose bush costs $10. Sarah is NOT able to purchase the combination of

A) 50 roses bushes and 0 pieces of sushi.

B) 20 rose bushes and 200 pieces of sushi.

C) 0 roses bushes and 300 pieces of sushi.

D) 30 roses bushes and 300 pieces of sushi.

E) None of the above answers is correct because Sarah is able to purchase all the listed combinations of roses and sushi.

23) The figure above shows a consumer’s budget line for sodas and DVD rentals. Point a represents an

A) affordable combination of sodas and DVDs that spends the entire budget.

B) affordable combination of sodas and DVDs that does not spend the entire budget.

C) unaffordable combination of sodas and DVDs.

D) affordable combination of sodas and DVDs but whether it spends the entire budget cannot be determined from the figure.

E) None of the above answers is correct.

24) The figure above shows a consumer’s budget line between sodas and DVD rentals. Point b represents an

A) affordable combination of sodas and DVDs that spends the entire budget.

B) affordable combination of sodas and DVDs that does not spend the entire budget.

C) unaffordable combination of sodas and DVDs.

D) affordable combination of sodas and DVDs but whether it spends the entire budget cannot be determined from the figure.

E) None of the above answers is correct.

25) The figure above shows a consumer’s budget line between sodas and DVD rentals. Point c represents an

A) affordable combination of sodas and DVDs that spends the entire budget.

B) affordable combination of sodas and DVDs that does not spend the entire budget.

C) unaffordable combination of sodas and DVDs.

D) affordable combination of sodas and DVDs, but whether it spends the entire budget cannot be determined from the figure.

E) None of the above answers is correct.

26) The figure above shows a consumer’s budget line between sodas and DVD rentals. Point d represents an

A) affordable combination of sodas and DVDs that spends the entire budget.

B) affordable combination of sodas and DVDs that does not spend the entire budget.

C) unaffordable combination of sodas and DVDs.

D) affordable combination of sodas and DVDs, but whether it spends the entire budget cannot be determined from the figure.

E) None of the above answers is correct.

27) Bobby buys cat food for his cat, Pearl. If the price of cat food falls, then Bobby’s budget line will

A) rotate outward and its slope will change.

B) rotate inward and its slope will change.

C) shift outward and its slope will not change.

D) shift inward and its slope will not change.

E) either rotate or shift outward depending on whether cat food has positive or negative marginal utility.

28) If one of the products a consumer buys rises in price, the consumer’s budget line will

A) shift farther away from the origin of the graph and not change its slope.

B) rotate inward, closer to the origin.

C) vanish.

D) undergo no change.

E) shift farther away from the origin of the graph and become steeper.

29) When the price of a good a consumer buys rises, the consumer’s budget line

A) shifts inward and its slope does not change.

B) shifts outward and its slope does not change.

C) rotates inward and its slope changes.

D) rotates outward and its slope changes.

E) does not change.

30) You consume hamburgers and hot dogs. If the price of a hamburger increases while the price of a hot dog and your budget do not change, then your budget line will

A) not change because your budget hasn’t changed.

B) shift outward and not change its slope.

C) rotate outward and change its slope.

D) rotate inward and change its slope.

E) shift inward and not change its slope.